Independence of internal auditors is enhanced appropriately by having the internal audit department report to the:
A) board of directors.
B) controller.
C) external auditor.
D) treasurer.

Question

Quizplus · Accepted Answer

By having the internal audit department report to the board of directors, the internal auditors are able to maintain independence and objectivity in their evaluations of the organization's operations and controls. Reporting to the controller, external auditor, or treasurer could potentially compromise the independence of the internal auditors, as these individuals may have conflicts of interest or may prioritize their own goals over those of the organization.

Independence of Internal Auditors Is Enhanced Appropriately by Having the Internal