Certified Internal Auditor (CIA) Part 3: Business Knowledge for Internal Auditing — Question 105

While performing an audit of a car tire manufacturing plant, an internal auditor noticed a significant decrease in the number of tires produced from the previous operating period. To determine whether worker inefficiency caused the decrease, what additional information should the auditor request?

Answer options

• A. Total tire production labor hours for the operating period
• B. Total tire production costs for the operating period
• C. Plant production employee headcount average for the operating period
• D. Tire production machinery utilization rates

Correct answer: A

Explanation

The correct answer is A because total labor hours directly relate to worker productivity and can help identify inefficiencies. While production costs (B), employee headcount (C), and machinery utilization rates (D) provide useful insights, they do not directly assess worker efficiency as labor hours do.