Introduction of IIA IIA-CIA-Part2 Exam!

IIA-CIA-Part2 is a certification exam for the Certified Internal Auditor (CIA) credential. It is part of the three-part exam series for the CIA and tests a candidate's knowledge and understanding of risk management, control, and governance processes. This exam covers topics such as enterprise risk management, audit process management, financial reporting and control, and IT governance and security.

What is the Duration of IIA IIA-CIA-Part2 Exam?

The IIA-CIA-Part2 exam is a three-hour exam consisting of 150 multiple-choice questions.

What are the Number of Questions Asked in IIA IIA-CIA-Part2 Exam?

There are 125 questions on the IIA-CIA-Part2 exam.

What is the Passing Score for IIA IIA-CIA-Part2 Exam?

The passing score for the IIA IIA-CIA-Part2 exam is 600 out of 800.

What is the Competency Level required for IIA IIA-CIA-Part2 Exam?

The IIA-CIA-Part2 exam requires a minimum competency level of Intermediate.

What is the Question Format of IIA IIA-CIA-Part2 Exam?

The IIA IIA-CIA-Part2 exam consists of multiple-choice questions.

How Can You Take IIA IIA-CIA-Part2 Exam?

The IIA-CIA-Part2 exam can be taken either online or in a testing center. To take the exam online, you must register for the exam on the IIA website and then purchase the exam voucher. Once you have the voucher, you can log in to the IIA website and schedule a date and time to take the exam. To take the exam in a testing center, you must first register for the exam on the IIA website and then contact a testing center near you to schedule a date and time to take the exam.

What Language IIA IIA-CIA-Part2 Exam is Offered?

The IIA IIA-CIA-Part2 exam is offered in English.

What is the Cost of IIA IIA-CIA-Part2 Exam?

The IIA-CIA-Part2 exam is offered for a fee of $450 USD.

What is the Target Audience of IIA IIA-CIA-Part2 Exam?

The target audience for the IIA IIA-CIA-Part2 Exam is individuals who are seeking to become a Certified Internal Auditor (CIA). This exam is designed for experienced internal auditors who have a minimum of two years of professional experience in internal auditing and have a thorough understanding of the internal audit process.

What is the Average Salary of IIA IIA-CIA-Part2 Certified in the Market?

The average salary of Practice of Internal Auditing certified professionals varies widely by role, region, and experience, because it depends on the job the certification is combined with. Check current listings in your market for an up-to-date figure.

Who are the Testing Providers of IIA IIA-CIA-Part2 Exam?

The International Institute of Internal Auditors (IIA) is the official provider of the Certified Internal Auditor (CIA) exam. The IIA offers the IIA-CIA-Part2 exam as part of the CIA certification program. To take the exam, you must register with the IIA and pay the applicable exam fee.

What is the Recommended Experience for IIA IIA-CIA-Part2 Exam?

The IIA recommends that individuals have at least three years of internal audit experience to be adequately prepared for the IIA-CIA-Part2 exam. This experience should include a minimum of 1,500 hours of internal auditing, including at least 500 hours of internal control auditing. Additionally, it is recommended that individuals have a working knowledge of the International Standards for the Professional Practice of Internal Auditing (Standards) and the Code of Ethics.

What is the Expected Retirement Date of IIA IIA-CIA-Part2 Exam?

The IIA IIA-CIA-Part2 exam is the current version of the Practice of Internal Auditing exam, and IIA has not announced a retirement date for it. When IIA introduces a newer version, the retirement date for the older version is published on the IIA certification site.

What is the Difficulty Level of IIA IIA-CIA-Part2 Exam?

The difficulty level of the IIA IIA-CIA-Part2 exam varies depending on the individual. Generally speaking, the exam is considered to be moderately difficult. It is important to prepare for the exam by studying the material, taking practice tests, and familiarizing yourself with the exam format.

What is the Roadmap / Track of IIA IIA-CIA-Part2 Exam?

The certification roadmap for the IIA IIA-CIA-Part2 Exam includes the following steps: 1. Complete the Certified Internal Auditor (CIA) Part 2 Exam Preparation Course. 2. Register for the IIA-CIA-Part2 Exam. 3. Study for the IIA-CIA-Part2 Exam using the recommended books and resources. 4. Take the IIA-CIA-Part2 Exam. 5. Receive your IIA-CIA-Part2 Exam results and your Certified Internal Auditor (CIA) Part 2 Certificate.

What are the Topics IIA IIA-CIA-Part2 Exam Covers?

The IIA-CIA-Part2 exam covers the following topics: 1. Governance, Risk, and Control: This topic covers the principles and practices of governance, risk management, and internal control. It includes topics such as the roles and responsibilities of the board of directors, the role of internal audit, risk assessment and management, and the design and implementation of internal control systems. 2. Information Technology: This topic covers the principles and practices of information technology and its applications in internal audit. It includes topics such as system security, systems development, operations, and data management. 3. Financial Management: This topic covers the principles and practices of financial management and its applications in internal audit. It includes topics such as financial statement analysis, cash management, and budgeting. 4. Performance Measurement: This topic covers the principles and practices of performance measurement and its applications in internal audit. It includes topics such as benchmarking, performance measurement systems, and

What are the Sample Questions of IIA IIA-CIA-Part2 Exam?

1. What is the purpose of the Internal Audit Activity (IAA) in an organization? 2. What is the role of the Chief Audit Executive (CAE) in the IAA? 3. What are the components of an effective risk-based internal audit plan? 4. What are the key elements of an effective system of internal control? 5. What is the role of the internal auditor in evaluating management’s performance? 6. What are the principles of professional ethics that internal auditors should adhere to? 7. What techniques can be used to assess the effectiveness of internal controls? 8. How can the internal auditor use data analytics to improve audit effectiveness? 9. What is the purpose of the Institute of Internal Auditors (IIA) International Standards for the Professional Practice of Internal Auditing (IPPIA)? 10. What are the key elements of an effective internal audit report?

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Free IIA-CIA-Part2 – Certified Internal Auditor - Part 2, Conducting the Internal Audit Engagement Practice Test Question

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Showing 1–20 of 20 questions

Question 1 (Volume D)

Due to the expanded role of internal audit in the organization, the chief audit executive (CAE) of a construction company decides to employ the services of an outsourced audit service provider to augment the internal audit staff. What does the CAE need to consider in determining whether the outsourced audit service provider possesses the necessary knowledge, skills and other competencies to perform an audit engagement?

Select an option, then click Submit answer.

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Specific matters expected to be covered in the engagement communications.
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The financial interest that the external service provider may have in the organization.
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The extent of other ongoing services the external service provider may be performing for the organization.
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The reputation of the external service provider.

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Question 2 (Volume E)

An internal auditor conducted interviews with several employees, documented the interviews, analyzed the summaries, and drew a number of conclusions. What sort of audit evidence has the internal auditor primarily obtained?

Select an option, then click Submit answer.

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Documentary evidence.
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Testimonial evidence.
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Analytical evidence.
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Physical evidence.

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Question 3 (Volume D)

Which two of the following considerations must an internal auditor take into account while planning an audit of an accounting system/application that has been in use for the last five years?

• The level and manner of linkages between the business' mission, objectives, and structure and the accounting system/application.

• Presence or absence of computerized and manual controls that address risks.

• Identification of risks at the application level, e.g. availability and security of the system.

• Testing of the system/application for bugs and errors.

Select an option, then click Submit answer.

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1 and 3 only
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2 and 3 only
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2 and 4 only
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3 and 4 only

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Question 4 (Volume D)

Which of the following is not true regarding the management of internal audit resources?

Select an option, then click Submit answer.

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A minimum level of information technology knowledge is necessary.
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The adequacy of internal audit resources is ultimately a board responsibility.
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Resources include external service providers and computer-assisted audit techniques.
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Skills availability must be aligned with financial constraints.

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Question 5 (Volume E)

Management has taken immediate action to address an observation received during an audit of the organization's manufacturing process. Which of the following is true regarding the validity of the observation closure?

Select an option, then click Submit answer.

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Valid closure requires evidence that ensures the corrected process will function as expected in the future.
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Valid closure requires the client to address not only the condition, but also the cause of the condition.
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Valid closure of an observation ensures it will be included in the final engagement report.
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Valid closure requires assurance from management that the original problem will not recur in the future.

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Question 6 (Volume B)

Which of the following is a red flag associated with improper asset valuation?

Select an option, then click Submit answer.

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Unusual increase in gross margin.
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Unusual decrease in the number of days' purchases in inventory.
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Recurring positive cash flows from operations.
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Allowance for bad debts that is increasing in percentage terms.

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Question 7 (Volume E)

For which of the following fraud engagement activities would it be most appropriate to involve a forensic auditor?

Select an option, then click Submit answer.

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Independently evaluating conflicts of interests.
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Assessing contracts for relevant terms and conditions.
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Performing statistical analysis for data anomalies.
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Preparing evidentiary documentation.

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Question 8 (New Update)

Which of the following internal audit procedures commonly involves sampling?

Select an option, then click Submit answer.

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Confirmation and financial statement analysis
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Reperformance and inspection
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Vouching and tracing
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Trend analysis and benchmarking

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Question 9 (Volume C)

A staff auditor, nearly finished with an audit engagement, discovers that the director of marketing has a gambling habit. The gambling issue is not directly related to the existing engagement and there is pressure to complete the current engagement. The auditor notes the problem and forwards the information to the chief audit executive but performs no further follow-up. The auditor's actions would: I. Be in violation of the IIA Code of Ethics for withholding meaningful information.

II. Be in violation of the Standards because the auditor did not properly follow up on a red flag that might indicate the existence of fraud.

III. Not be in violation of either the IIA Code of Ethics or Standards.

Select an option, then click Submit answer.

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I only
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II only
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III only
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I and II only

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Question 10 (New Update)

An internal auditor wanted to determine whether the organization's 200 employees are charging their work hours accurately to the correct project. The internal auditor selected a sample of 30 employee time reports for testing. Based on the testing, the internal auditor determined the following:

- 5 Time reports were incorrect.

- 21 Time reports were correct.

- 4 Time reports were not supported.

Select an option, then click Submit answer.

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The organization has significant flaws in its reporting of employee time, which could lead to the overstatement of project labor costs. The organization's failure to report accurate and complete employee time could lead to potential fraud and abuse.
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The organization needs to ensure that all reporting of employee time is accurate and complete for each of its projects By dang so the organization can minimize potential issues related to overstating employee tames and labor project costs.
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The organization overstated project costs due to inaccurate and incomplete reporting of employee time charged to the affected accounts As a result the organization cannot ensure at protects costs are accurately reported to stakeholders
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The organization generally ensured that employee hours charged to each project were accurate and complete. However, there were instances of employee time reports that were incorrect or not supported to justify the multiple project labor coats

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Question 11 (Volume C)

An internal auditor notices that a division has recorded uncharacteristically high sales and gross margins for the past three months and now suspects the division is reporting fictitious sales. Which course of action should the auditor follow to determine whether fraud has occurred?

Select an option, then click Submit answer.

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Trace a sample of shipping documents to related sales invoices to verify proper billing.
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Send accounts receivable balance confirmations to customers.
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Compare the division's sales and gross margins to those of the prior three-month period.
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Estimate the sales and cost of goods sold for the three-month period by using regression analysis.

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Question 12 (Volume E)

Which of the following conditions are necessary for successful change management?

1. Decisions and necessary actions are taken promptly.

2. The traditions of the organization are respected.

3. Changes result in improvement or reform.

4. Internal and external communications are controlled.

Select an option, then click Submit answer.

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1 and 2
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1 and 3
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2 and 3
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2 and 4

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Question 13 (Volume E)

When constructing a staffing schedule for the internal audit activity (IAA), which of the following criteria are most important for the chief audit executive to consider for the effective use of audit resources?

1. The competency and qualifications of the audit staff for specific assignments.

2. The effectiveness of IAA staff performance measures.

3. The number of training hours received by staff auditors compared to the budget.

4. The geographical dispersion of audit staff across the organization.

Select an option, then click Submit answer.

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1 and 3
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1 and 4
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2 and 3
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2 and 4

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Question 14 (Volume E)

The chief audit executive can illustrate the value of the internal audit activity by reporting which of the following to the board?

Select an option, then click Submit answer.

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The overall performance resulting from the internal audit balanced scorecard.
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The number of outstanding and overdue management actions.
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The experience of the organization's internal auditors.
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The number of audits in the annual audit plan relative to similar organizations.

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Question 15 (Volume E)

Which of the following actions are appropriate for the chief audit executive to perform when identifying audit resource requirements?

1. Consider employees from other operational areas as audit resources, to provide additional audit coverage in the organization.

2. Approach an external service provider to conduct internal audits on certain areas of the organization, due to a lack of skills in the organization.

3. Suggest to the audit committee that an audit of technology be deferred until staff can be trained, due to limited IT audit skills among the audit staff.

4. Communicate to senior management a summary report on the status and adequacy of audit resources.

Select an option, then click Submit answer.

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1 and 3 only
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2 and 4 only
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1, 2, and 4
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2, 3, and 4

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Question 16 (Volume A)

Which of the following, if observed, would not indicate the need to extend the search for other indicators of fraud in a purchasing department?

Select an option, then click Submit answer.

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The standard of living of one of the purchasing agents has increased.
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The internal control structure has significant weaknesses.
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The purchasing agents have convinced management to adopt a policy of paying vendors on a more timely basis in order to avoid incurring penalty charges.
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The cost of goods procured seems to be excessive in comparison with previous years.

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Question 17 (Volume E)

The final engagement communication contains the following observation:

"The internal auditor discovered that three of the 10 contracts reviewed failed to meet the organization's competitive bidding requirements. Management explained that senior management deemed these purchases to be critical and awarded them as sole-source."

Which of the following components is missing in the documentation of the observation?

Select an option, then click Submit answer.

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Criteria.
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Effect.
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Condition.
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Cause.

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Question 18 (Volume A)

Which of the following is the best problem-solving technique to use when analyzing performance and cost?

Select an option, then click Submit answer.

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Value analysis.
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Attribute listing.
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Brainstorming.
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Component analysis.

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Question 19 (New Update)

------69

Which of the following best describes the manual audit procedure known as vouching?

Select an option, then click Submit answer.

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Testing the validity of information by following it backward to a previously prepared record
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Testing the accuracy of the control by reperforming the task or process required
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Soliciting and obtaining written verification of the accuracy from an independent third party
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Testing the completeness of information forward from a record to a subsequently prepared document

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Question 20 (Volume B)

An audit of an organization's claims department determined that a large number of duplicate payments had been issued due to problems in the claims processing system. During the exit conference, the vice president of the claims department informed the auditors that attempts to recover the duplicate payments would be initiated immediately and that the claims processing system would be enhanced within six months to correct the problems. Based on this response, the chief audit executive should:

Select an option, then click Submit answer.

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Adjust the scope of the next regularly scheduled audit to assess controls within the claims processing system.
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Discuss the findings with the audit committee and ask the committee to determine the appropriate follow-up action.
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Schedule a follow-up engagement within six months to assess the status of corrective action.
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Monitor the status of corrective action and schedule a follow-up engagement when appropriate.

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About the IIA-CIA-Part2 Free Practice Test

Thinking of taking the Practice of Internal Auditing (IIA-CIA-Part2) exam? This free IIA practice test is the place to start. The 20 questions come free from the full 748-question Study4Pass practice set — a quick, honest check of where you stand. The free sample is made up of 20 single-answer questions, each with a full explanation. The set follows the real exam’s spread of topics: Governance, Risk, and Control, Information Technology, Financial Management and Performance Measurement. IIA-CIA-Part2 is a certification exam for the Certified Internal Auditor (CIA) credential.

The target audience for the IIA IIA-CIA-Part2 Exam is individuals who are seeking to become a Certified Internal Auditor (CIA). The Prerequisite for IIA IIA-CIA-Part2 Exam is to have passed the IIA-CIA-Part1 Exam.

Certification: Practice of Internal Auditing (IIA-CIA-Part2)
Vendor: IIA
Free on this page: 20 practice questions with answers and explanations
Full practice set: 748 questions

Work through the questions one at a time and read every explanation, even for the ones you get right — the reasoning behind an answer is what the real exam tests. If one area keeps costing you marks, you have found exactly what to revise before exam day.

Think of the result as a map, not a verdict. The questions you miss point straight at the topics that need work, and the explanations tell you why the correct option wins. Candidates who loop through that cycle — practise, review the reasoning, re-test — walk into the real exam having already seen their weak spots and fixed them.

Inside the full IIA-CIA-Part2 practice set:

All 748 questions with answers and explanations
Timed Exam Simulation that mirrors the real exam pressure
Topic Training to drill one domain at a time
Ask AI for More Explanation on every question
Flag questions and review them before you finish

How to use this IIA-CIA-Part2 free practice test

There is no clock and no account needed. Answer each question, check the result, and read the explanation before moving on. For anything that still feels unclear, Ask AI is built into this AI-Enabled practice test — it explains the concept behind the question so the next one like it gets easier. When the free sample feels comfortable, the full set of 748 questions adds timed Exam Simulation, topic-by-topic training, and flagged-question review — the closest thing to exam day you can get before the real thing.

What to study for each IIA-CIA-Part2 domain

Governance, Risk, and Control — This topic covers the principles and practices of governance, risk management, and internal control.
Information Technology — This topic covers the principles and practices of information technology and its applications in internal audit.
Financial Management — This topic covers the principles and practices of financial management and its applications in internal audit.
Performance Measurement — This topic covers the principles and practices of performance measurement and its applications in internal audit.

IIA-CIA-Part2 practice test — quick questions

Is this IIA-CIA-Part2 practice test free?

Yes. Every question on this page — all 20 of them — is free to use, and you never need to create an account to try them.

How many questions are in the full IIA-CIA-Part2 set?

The full Study4Pass set for IIA-CIA-Part2 has 748 practice questions. This page gives you 20 of them free so you can judge the quality and difficulty first.

Does the free test show the answers?

Yes. Check any question to reveal the correct answer and its explanation, and use Ask AI whenever you want the underlying concept explained step by step.

Is this the real IIA-CIA-Part2 exam?

No — these are practice questions built to match the IIA-CIA-Part2 domains and difficulty level, so you can prepare for the real exam with confidence.