International Professional Practices Framework (1/27)

Question 1

International Professional Practices Framework (IPPF) represents?

Answer 1

official guidance for profession

Question 2

Components: MANDATORY

Answer 2

Components in the definition
Code of Ethics
International Standards

Question 3

Components: STRONGLY RECC

Answer 3

Practice advisories (concise, timely guidance)
Position papers ("research paper" avail to anyone)
Practice guides (detailed guidance on IA tools and techniques)

Question 4

Internal Auditors provide…

Answer 4

Consulting (give advice)

Assurance (audit activity, compare w/ criteria, issue repor/OPINION on result of audit

Question 5

3 Pillars of Effective Internal Audit Services

Answer 5

Independence of objectivity
Proficiency
Due profesional care

Question 6

Components: MANDATORY - Components in the definition

Answer 6

Key terms: Independent, objective, assurance, consulting, add value, governance, risk, controls

Question 7

Components: MANDATORY - Code of Ethics

Answer 7

Integrity
Objectivity
Confidence
Competence

Question 8

Components: MANDATORY - International Standards

Answer 8

HEART OF IA
Statements - basic reqs for practice
Interpretations - clarify statements

Question 9

International Standards (3)

Answer 9

Attribute standards
Performance standards
Implementation standards

Question 10

International Standards - ATTRIBUTE STANDARDS

Answer 10

4 mainsections:
Purpose, Authority, Responsibility 
Independence and Objectivity
Proficiency and Due professional care 
Quality assurance and Improvement program

Question 11

International Standards - ATTRIBUTE STANDARDS: Purpose, Authority, Responsibility

Answer 11

Internal Audit Activity must have a Charter that specifies these

Question 12

International Standards - ATTRIBUTE STANDARDS: Independence and Objectivity

Answer 12

Independent - organizational status
Objectivity - individual bias
Should be independent in FACT and APPEARANCE
Cannot accept free gifts/ent
Report any dependency issues to CAE
CAE reports to Board in writing

Question 13

International Standards - ATTRIBUTE STANDARDS: Proficiency and due professional care

Answer 13

Most possess adequate knowledge, skills

Question 14

International Standards - ATTRIBUTE STANDARDS: Quality Assurance and Improvement Program

Answer 14

Engage in continuing professional development
Designed to enable evaluation of IA
Quality Assurance Program developed by CAE
Must include both Int and Ext assessments
IA = ongoing
EA - 1 every 5 years

Question 15

International Standards - PERFORMANCE STANDARDS

Answer 15

Describe actual internal audit activities and criteria

Question 16

International Standards - IMPLEMENTATION STANDARDS

Answer 16

IA must properly plan audit
CAE develop annual plan
CAE develop operational budget
CAE select entities to audit

Question 17

AuditUniverse

Answer 17

The various possible audit entities

audit selection should be approved my management and the board