With each of the three sentences under the internal audit state whether it is in compliance with King IV or not. If not state the correct principle meaning between principles 1 to 17. And explain why the entity is in contravention of the relevant principle. With each of the three sentences this must be done.

Internal Audit The internal auditing activity reviews the implementation of the risk management plan annually. C Fulton heads up the internal audit activity as the CAE and reports to N Norton annually. The internal audit activity identifies all the risks that the entity faces and decides how these risks will be mitigated. The internal audit activity also prepares the annual financial statements