Certified Government Auditing Professional (CGAP) Practice Exam

In applying the standards of conduct set forth in The IIA's Code of Ethics, internal auditors are expected to?

1. Exercise their individual judgment

2. Compare them to standards of other professions

3. Be guided by the desires of the client

4. Use discrimination in deciding whether to use them or not

The correct answer is: Exercise their individual judgment

Internal auditors are expected to exercise their individual judgment when applying the standards of conduct outlined in The IIA's Code of Ethics. This expectation emphasizes the importance of personal accountability and professional integrity in auditing practices. By using their own judgment, auditors can assess situations and ensure that their actions align with ethical standards and the principles set forth in the IIA's guidelines. The application of individual judgment enables auditors to consider the unique circumstances of each audit and make decisions that uphold the values of objectivity, confidentiality, and integrity. This approach ensures that internal auditors remain independent and act in the best interest of the organizations they serve, rather than succumbing to external pressures or expectations that may compromise their professional standards. The other options do not align with the fundamental principles of independent judgment and ethics required of auditors. Comparing to standards from other professions may not fully encompass the specific ethical considerations relevant to internal auditing. Being guided by the desires of a client could lead to conflicts of interest, undermining the auditor's role as an independent evaluator. Lastly, the idea of using discrimination in deciding whether or not to apply ethical standards runs counter to the principle of consistently adhering to those standards in all situations.