Following are five statements regarding the internal auditing function within organizations:

1. Internal auditors should report any situations in which a conflict of interest or bias is present or may be reasonably inferred to the director of internal auditing.

2. External reviews of the internal auditing department should be performed to appraise the quality of the department's operations.

3. The purpose, authority, and responsibility of the internal auditing department should be defined in a formal written document.

4. Suitable criteria of education and experience for filling internal auditing positions should be established.

5. Internal reviews of the internal auditing department should be performed by members of its staff to appraise the quality of the audit work.

Required:

a. Identify the section of either the Code of Ethics or the Standards for the Professional Practice of Internal Auditing that would most likely apply to each of the statements above.

b. Discuss each statement in terms of its consistency with the respective provisions of the Code of Ethics or the Standards.