INTERNAL AUDITING MULTIPLE CHOICE

Question 5

In their communication of results, internal auditors are required by the Institute of Internal Auditors (llA) Code of Ethics to?

A. Reveal material facts that could distort communications if not revealed.

B. Obtain factual information within the established time and budget parameters.

C. Present sufficient factual information without revealing confidential information that could be detrimental to the organisation.

D. Disclose all material findings obtained as of the date of the final engagement communication

Question 12

According to the Standards for the Professional Practice of Internal Auditing, internal auditors must be objective in performing audits. Assume that the internal audit director received an annual bonus as part of that individuals compensation package. The bonus may impair the audit directors objectivity if

A. the scope of internal auditing work is reviewing internal controls rather than account balances.

B. the bonus is administered by the board of directors or its remuneration committee.

C. the bonus is based on rand recoveries or recommended future savings as a result of audits.

D. all of the above options