In the normal course of performing their responsibilities, auditors often conduct audits or reviews of the following:

• 1.Federal income tax returns of an officer of the corporation to determine whether he or she has included all taxable income in his or her return.
• 2.Financial statements for use by stockholders when there is an internal audit staff.
• 3.A bond indenture agreement to make sure a company is following all requirements of the contract.
• 4.Internal controls at a casino to ensure the casino is in compliance with federal and state regulations.
• 5.Computer operations of a corporation to evaluate whether the computer center is being operated as efficiently as possible.
• 6.Annual statements for the use of management.
• 7.Operations of the IRS to determine whether the internal revenue agents are using their time efficiently in conducting audits.
• 8.Statements for bankers and other creditors when the client is too small to have an audit staff.
• 9.Financial statements of a branch of the federal government to make sure that the statements present fairly the actual disbursements made during a period of time.
• 10.Federal income tax returns of a corporation to determine whether the tax laws have been followed.
• 11.The computer operations of a large corporation to evaluate whether the internal controls are likely to prevent misstatements in accounting and operating data.
• 12.Disbursements of a branch of the federal government for a special research project to determine whether the expenditures were consistent with the legislative bill that authorized the project.

Required

• a.For these 12 examples, state the most likely type of auditor (CPA, GAO, IRS, or internal) to perform each.
• b.In each example, state the type of audit (financial statement audit, operational audit, or compliance audit).