Question 4. Homeland Co's external auditors are relying on the work of the company's internal audit function with respect to part of the audit of inventory, which is material to Homeland Co's financial statements.

Which of the following is a correct statement with respect to this situation?

The external auditor is required to reperform some of the internal auditors' work

The audit report should refer to the work performed by the internal auditors in the "scope of the audit" paragraph

The external auditor does not need to consider the objectivity of the internal auditors

The external auditor can ask internal audit to make significant judgments in the audit of inventories