Top 20 Internal Audit Interview Questions and Answers 2023


Internal Audit Interview Questions

If you are preparing for an internal audit interview, we’ve got you in mind. This article lists questions that are commonly asked during internal audit interviews. These questions test the technical, personal, and behavioral aspects of the internal audit profession. The best answer to each question is included. Study these interview questions to know what to expect in your next interview.

1. Why are You Interested In This Role?

The interviewer wants to understand why you want to be an internal auditor in their firm

Tip #1: Explain why you chose their organization

Tip #2: Research on the organization and its significance in your career

Sample Answer

The internal audit firm allows me to learn businesses, expand my career, and become an excellent decision-maker. It has impacted me with a full understanding of how organizations work. It has improved my communication skills, increased my leadership skills, and analytic abilities. The daily activities make me a better learner; hence I enjoy them a lot.

2. What are The Roles of an Internal Auditor?

This question explores the duties of an internal auditor

Tip #1: Highlight the tasks an internal auditor performs

Tip #2: Only mention significant and crucial duties

Sample Answer

An internal auditor reviews the business process of an organization with a purpose. Then evaluate the reliability of risk management procedures currently in place. An internal auditor strives to protect the organization’s properties against theft. After that, he/she evaluates the organization’s adherence to relevant laws and statutes. Lastly, he/she proposes the measures to put in place to improve internal control and governance processes.

3. What are the Qualities That an Internal Auditor Should Poses To Be Effective?

Here, the interviewer is testing the qualities of a great internal auditor

Tip #1: Demonstrate the excellent qualities an internal auditor needs to have

Tip #2: Be eloquent and straight to the point

Sample Answer

A great internal auditor should have excellent leadership skills to guide and make appropriate decisions. Be persistent in their work and be good at keeping and building relationships. He/she should be good with technology, understand data, creative and be willing to learn every day.

4. Why is Internal Audit Important?

The interviewer wants to know the necessity of internal auditing

Tip #1: Mention all the importance of internal auditing

Tip #2: Be straight to the point

Sample Answer

Internal auditing helps in; increment the size and complexity of a business, expanding the compliance regulations; hence competing favorably. It’s also significant as it focuses on risk management and internal control to manage them. Additionally, it promotes the intensive use of information technology and regulates stringent norms established by regulators to protect investors.

5. How Do You Conduct an Internal Audit?

The interviewer wants to understand how you perform an internal audit

Tip #1: Explain how you conduct an internal audit

Tip #2: Be brief and show that you are good at doing it

Sample Answer

First, I set up my objectives right, spot risks, and re-examine them. Then, I plan my strategies and audit activities. I verify the facts and finish the work. Lastly, I establish a deliverable report that will influence action then follow up the whole process.

6. What is Required to Perform an Internal Audit?

The interviewer intends to know the requirements for performing an internal audit

Tip #1: Give out all the necessities needed to conduct an internal audit

Tip #2: Show that you are familiar with all the requirements

Sample Answer

To conduct an internal audit, the treasurer provides all the financial records for the audit. These include; the bank statement, canceled checks, deposit slip, checkbook register, expense vouchers with bill receipts, and the yearly treasures report.

7. What Do You Do After the Internal Audit?

This question examines the things you do after an internal audit

Tip #1: Explain all the activities you perform after an audit

Tip #2: Explain the actions in details

Sample Answer

After performing the internal audit, I hold a meeting with all the auditors who participated in the audit. During the meeting, I talk about the non-conformances and the eliminated part. I give out the audit report on time, and then motivate the auditee to correct all the mistakes. I take part and show those responsible for completing the task; the correct method to set up acceptable deadlines. Lastly, I receive the auditee’s response and check on its anticipation.

[VIDEO] Top 20 Internal Audit Interview Questions with Sample Answers: ► Subscribe for more useful videos

8. What Things Have To Be Taken Care For Checks and Vouchers In Internal Audit?

This question explores the details needed to be taken care of in vouchers and checks

Tip #1: Mention the details that are taken care of in a voucher and a check

Tip #2: Highlight the significance of taking care of these details in checks and vouchers

Sample Answer

I record all checks in the check register, save voided checks, and ensure no check is missing. I also ascertain that all vouchers have a sufficient explanation for all expenses; the amount on it matches those in the warrant; I then write for all voided checks.

9. What Steps Do You Take Before Processing an Audit?

The interviewer seeks to understand the steps conducted before submitting an audit

Tip #1: Give out each procedure you perform before processing an audit

Tip #2: State the importance of these steps

Sample Answer

I develop the strength of the audit team as this will stimulate the union of the auditees. I identify the sectors in the company that needs audit and the frequency of the audits. Then prepare an annual audit schedule and distribute it. I evaluate the audit’s purpose and check if it complies with government regulations, quality, and standards. Additionally, I plan a meeting with the auditors to discuss; the strategy, scope, and objectives. After that, I read the documents I am auditing.

10. Describe Substantive tests and When Do You Use Them In The Process Of Auditing the Business Process?

This question examines substantive tests and how it applies in the process of auditing business process

Tip #1: Explain what substantive test involves

Tip #2: Highlight how it applies to auditing the business process

Sample Answer

A substantive test is an audit procedure that examines the financial statements and supporting documentation to evaluate if they have errors. This test provides evidence to aid the assertion; that the financial records of an entity are complete, accurate, and valid. They are popular tools that each internal auditor must-have.

11. What are the purposes of ISA 610 and INTOSAI standards?

The interviewer seeks to understand the functions of ISA 610 and INTOSAI standards

Tip #1: Briefly mention the purpose of ISA 610 and INTOSAI standards

Tip #2: Explain its necessity in internal audit

Sample Answer

ISA 610 is a significant portion of the international standard for auditing. It provides useful guidelines that guide the external and internal auditors to work with each other peacefully. The International Organization of Supreme Audit Institution (INTOSAI) is a collection of government offices and organizations which give out standards and guidelines on performance and regulatory audits.

12. What are the Differences Between Regulatory or Statutory Audits and Performance Audits?

The interviewer intends to know the differences between statutory and performance audit

Tip #1: Explain the differences between regulatory and performance audit

Tip #2: Show that you have relevant skills in both audits

Sample Answer

A regulatory audit examines the budget reporting and financial reporting of the audited business. It also gives the auditors opinion about the changes that need focus. On the other hand, performance audit evaluates projects or programs along with their purpose and daily performance. Examines the management system and procedures of the government to ensure the organization is utilizing resources efficiently. It identifies opportunities to implement improvement.

13. What is ISO 9001:2000?

Here, the interviewer wants to know your knowledge of ISO 9001: 2000

Tip #1: Highlight the meaning of ISO 9001:2000

Tip #2: State the significance of ISO 9001:2000

Sample Answer

ISO 9001:2000 specifies requirements for a quality management system.  An organization is obliged to demonstrate its capability to consistently provide a product that satisfies customers and applicable regulatory requirements. ISO 9001:2000 requires an excellent document, up to date, and reliable information on each product.

14. Describe Your Daily Routine as an Internal Auditor

The interviewer wants to hear the daily duties of an internal auditor

Tip #1: Briefly highlight your everyday activities

Tip #2: Show how you manage your day to ensure success

Sample Answer

I monitor, analyze, and assess the risks and controls of the organization. This measure ensures the company can compete favorably to survive in a competitive environment. I then check and review the adherence of the organization to state and federal policies and laws.

15. How Do You Stay Motivated at Work?

This question examines the things which inspire you while working

Tip #1: Highlight all the factors that encourage you to work

Tip #2: Be confident and straight to the point

Sample Answer

I always set up goals that guide me. These goals motivate me to work towards achieving them. My team cooperates, and everyone has a task to accomplish. I always work on completing my tasks not to fail the team and the organization. Additionally, the organization’s success inspires me to work hard; to be stable in a competitive environment.

16. Describe a Time You Failed In This Role and the Lessons You Learned

The interviewer wants to have knowledge of your failures in the job and lessons you learned

Tip #1: Mention the area you failed in

Tip #2: Explain what you learned from your failure

Sample Answer

I encountered misaligned misfortunes caused by a lack of awareness and cooperation from my team. A few auditors conducted an audit; hence it wasn’t checked thoroughly by everyone to ascertain its efficiency. This resulted in the failure of the business. However, I learned to evaluate existing as well as new policies and procedures, and develop enough metrics and key performance indicators before submitting an audit report.

17. What is the Biggest Challenge That You Foresee in This Job?

This question examines the challenge which is very critical in internal audit

Tip #1: Highlight the challenge you think is very crucial

Tip #2: Mention a strategy to resolve the challenge

Sample Answer

A common way of communicating audit results to the management is through a formal written report issued weeks or months after a problem is spotted. The audit report talks about the things the internal audit has concluded. It doesn’t give room for what the board and management need to know. To eliminate all these; there should be more talking than writing. Thus it will be easier to deliver information and actions taken very fast.

18. Describe Briefly About Your Internal Audit Experience

The interviewer seeks to know your experience as an internal audit

Tip #1: Show your skills as an internal audit

Tip #2: Include relevant skills and practices

Sample Answer

I have a degree in financial accounting and auditing. I am a certified public accountant (CPA) and Certified internal auditor. I have relevant skills in maintaining and cultivating a master inventory of the company practices, policies, and processes. Moreover, I am good at creating and updating the internal audit plan by enforcing updated audit programs to ensure reliable financial controls.

19. What Kind of Strategies and Mindset Is Required For This Role? Explain With Examples

The interviewer intends to know the appropriate mindset and strategies for an internal audit.

Tip #1: Mention all the methods and attitudes needed to ensure the success of this job

Tip #2: Explain the importance of an excellent mindset and plan

Sample Answer

A good audit strategy should have; a clear scope of the audit, its features, reports from the objectives, sufficient time for the audit, good communication with team members, and relevant factors in directing the team’s efforts. A positive mindset is required to stimulate success.

20. What Major Challenges Did You Face During Your Last Role? How Did You Handle It?

This question examines the difficulties you encountered in your previous role

Tip #1: Highlight all the challenges you faced

Tip #2: Be honest and brief

Sample Answer

The previous organization didn’t have enough resources to address a critical audit issue. Hence, that made the auditing very difficult. I had to look for a means to try and figure out the audit process. However, I insisted to the management about the importance of the resources to the organization’s success. In the end, they accepted and acquired the relevant resources.

Conclusion

Most people perceive internal audit as one of the difficult interview. However, with relevant skills, attitude, and motivation, you will find it to be easy. Additionally, practicing these questions and answers will elevate everything and enable you to effortlessly pass the interview.

Recent Posts