Certified Internal Auditor (CIA) Part 1: Business Acumen — Question 112

An internal auditor is conducting an engagement in the accounts payable department, which includes expressing an opinion at the micro level. According to IIA guidance, which of the following statements is true regarding micro-level opinions?
1. They are most effective when using a combination of current and prior engagement findings to draw conclusions.
2. They typically are based on defined procedures such as those found in an accounts payable reconciliation process.
3. They are discrete and not normally shared with senior management or the board.
4. They can rely on evidence taken from the work of other assurance activities across the organization.

Answer options

• A. 1 and 2.
• B. 1 and 3.
• C. 2 and 3.
• D. 3 and 4.

Correct answer: C

Explanation

The correct answer is C, as micro-level opinions are typically based on specific procedures like those in an accounts payable reconciliation process and are discrete. Options A and B include statements that do not accurately reflect the nature of micro-level opinions, and option D suggests they can rely solely on evidence from other assurance activities, which is not typically the case.