REQUIRED 5.1 Peter Brown is newly appointed internal auditor at Arthur and sons Accountants and Auditors. During the preliminary review for an audit at one of the companys key clients, Peter discovers fraudulent transaction that implicates the Chief Executive Officer (CEO) of the company; He raises the matter with the audit manager for direction Exited about his discovery, Peter informs family and friends about what has transpired and tells them that the CEO may also go to jail. (4)

5.2 Matthew, who is an internal audit manager with a company, is planning an audit of the debtors section; Matthew has been involved with the client for five years and has established a good relationship with the key personnel, during an interview the Chief Financial Officer (CFO) informs George that he has been instructed to manipulate the debtors figure for the interim financial reports in an effort to improve the companys performance, Matthew does not report the matter, because he has been promised a performance bonus of R10 000. (4)

5.3 The external auditors complain that Mrs Schutte, who has recently been appointed as a Chief Audit Executive (CAE), does not want to share information with them regarding the audits performed by the internal audit activity during the recent years. (2)

Please can you answer all my questions 5.1 - 5.3

Thank you so much

QUESTION 5 (10 Marks) As an internal auditor student you are aware that the International Professional Practice Framework for internal auditors consists of three components (the definition of internal auditing, the Code of Ethics and the international standards for the professional Practice of Internal Auditing) REQUIRED Consider the independent scenarios that follow below for each of the scenarios, Indicate and name the components and/or codes that have been violated, Support your answer by explaining the violation and indicating the requirements that should have been met to Reason Structure your answer as follows: Permissible or not Reference Professional practice requirements e.g. Code- Objectivity or Standard 1000- Purpose, Authority & Responsibility