Exam IIA-CIA-Part1 All QuestionsBrowse all questions from this exam
Question 159

Which of the following statements regarding an internal auditor's responsibility for detecting fraud is not correct?

    Correct Answer: D

    The statement that the internal auditor should detect fraud before recommending a fraud investigation should take place is not correct. Internal auditors are responsible for identifying red flags and control weaknesses that might indicate fraud, but they are not necessarily experts in fraud detection and investigation. They can identify areas of concern and recommend that a detailed fraud investigation be conducted by specialists who have the expertise to conclusively detect and analyze fraud.

Discussion
nehabhineetOption: D

detecting Fraud has taken place is the the duty of Investigator and not Internal Auditor as he cannot be expected to have expertise in that area. So, he can only indicate and ask for investigation

liberoOption: D

It's possible to recommend to investigating fraud when Internal auditor found red flag.

PapeOption: D

Internal auditor dont have the expertise to detect fraud. He sould first recommend to investigating fraud

TalzOption: D

Please help, how is D incorrect. Should fraud not be detected before being investigated?