Free IIA CIA Part 1 (Internal Audit Fundamentals) Foundations of Internal Auditing Practice Questions
Foundations of Internal Auditing on CIA Part 1 covers the purpose of internal auditing under the Global Internal Audit Standards, the internal audit mandate and charter, assurance versus advisory services, independence and objectivity, and the Three Lines Model. The IIA Expanded Test Specifications allocate 35% of Part 1 to this domain, the largest share of the exam.
According to IIA guidance, which item must the internal audit charter contain?
🎉
Correct Answer: B
Solution
B is correct. Standard 6.2 requires the internal audit charter to state the function's purpose, authority, and responsibilities, along with its position in the organization and its reporting relationships. Authority is documented as unrestricted access to records, personnel, and physical property relevant to the performance of engagements, and that clause is what allows the function to obtain evidence when access is questioned. The chief audit executive discusses the charter with senior management and the board, and the board approves it.
Question 2
Medium
Which of the following is most likely to impair the independence of the internal audit function?
🎉
Correct Answer: D
Solution
D is correct. Under the Global Internal Audit Standards the board reviews and approves the internal audit function's resources, including the budget, and the chief audit executive reports to the board when resources are insufficient (Standards 8.2 and 10.1). When senior management alone determines the budget, the areas subject to audit gain indirect control over how much work the function can perform, which is a resource-based limitation on scope and therefore an impairment of organizational independence that the chief audit executive must communicate to the board.
Question 3
Hard
A chief audit executive concludes that repeated executive interference has created a perceived, though not actual, independence impairment. What is required?
🎉
Correct Answer: B
Solution
B is correct. Standard 7.1 obliges the chief audit executive to protect the internal audit function's independence and to disclose impairments to independence, including perceived impairments, to the board. Perception is treated on the same footing as actuality because stakeholder confidence in the function's conclusions depends on how the function is seen, and only the board can address executive interference at its source.
FreeFellow was built by Jeffrey Ting, a credentialed actuary and CFA charterholder who passed thirteen of the hardest exams in finance on the first attempt, and paid four-figure prep fees for every one. The learning itself was always free. The price was a moat.
So he started writing his own questions, then lessons, then mock exams, until it grew into a full prep platform covering 40 finance credentials with more than 44,000 original practice questions. The name says exactly what it is: the question bank is free, and Fellow is what you become once you pass.
01
Cost shouldn't decide who gets in.
The exam is a fair gate. A four-figure prep course is not. FreeFellow takes the second gate down, so the exam is the only one left.
02
Free should mean free.
No trial clock, no email gate, no credit card. The question bank, worked solutions, lessons, and readiness score stay free, and they are enough to pass.
03
Built by someone who sat where you sit.
He paid for the big-name courses, found nothing he respected, and built the prep he wished had existed. Not a marketing team that has never sat an exam.
