Part B

Sunglasses can only be ordered online from Sun$-$look Ltd$.$ Individual buyers and certain stores order from Sun$-$look Ltd$.$ An internal audit engagement is planned for the online ordering department. Thea Jacobs is assigned as the senior internal auditor. Thea approached Thabo Ndlovu regarding the audit activities that should be included in the internal audit engagement. She is unsure about the phases of the internal audit process in which the audit activities should be conducted. Thea requests Thabo's assistance in allocating the audit activities below to the correct phase in the internal audit process.

Audit activities:

Inspect the policies and procedures that relate to the online ordering department to ensure that they are approved by management.

Discuss with management of the online ordering department the preliminary findings of the audit.

Inform the management of the online ordering department that an internal audit engagement has been scheduled in June $2024$ for the audit period $1$ February $2024$ to $31$ May $2024.$

Conduct a preliminary survey of the ordering department to gain an understanding of the control environment and business processes in place.

$4$

AUI$2601/1/2024$

Confirm the existence of the approved internal audit charter and whether the audit of the ordering department forms part of the approved risk$-$based internal audit plan.

Review the monthly reports to identify any orders that were not processed during the $24$ hour turnaround time and obtain reasons for the late processing of orders.

Thabo Ndlovu reviews the internal audit program to ensure audit objectives and procedures are correctly formulated.

The internal auditor identified control deficiencies regarding the ordering department that required immediate attention. These were discussed with the manager of the ordering department.

REQUIRED

Marks

$2\mathrm{.}2$ For the activities above $(1-8),$ indicate the phase$/$step of the internal audit process.

$(8)$