3.

You are the director of internal audit at Sargon Industries, a large publicly traded manufacturing company. You recently met with the manager of data processing and expressed the desire to establish a more effective relationship between the two departments.

Subsequently, the manager of data processing requested your assistance on a new computerized accounts payable system being developed. The manager recommended that the internal audit function assume line responsibility for examining suppliers invoices prior to payment. The manager also requested that the internal audit function make suggestions during the development of the system, assist in its installation, and approve the completed system after making a final review.

Evaluate each of the following requests made by the manager of data processing within the context of The IIAs International Professional Practices Framework (that is, the Definition of Internal Auditing, the Standards, the Code of Ethics, Implementation Guides, etc.) in terms of its potential impact on internal auditors objectivity.

A. The request that the internal auditor be responsible for examining suppliers invoices prior to payment.

B. The request that the internal auditor make suggestions during the development of the system.

C. The request that the internal auditor assist in the installation of the system and approve the system after making a final review.