According to the Institute if Internal Auditors, the best description of internal auditing is that it:
A) certifies the reliability and integrity of financial and operating information.
B) furnishes management with information needed to effectively discharge its responsibilities.
C) appraises the economy and efficiency with which resources are used.
D) reviews the means of safeguarding assets and verifies the existence of those assets.

Question

Quizplus · Accepted Answer

Internal auditing is primarily focused on providing management with information that they need to perform their job effectively. While internal audits will also address issues around financial and operating information, asset safeguarding, and resource efficiency, the primary purpose is to support management in their decision-making processes. Choice A is incorrect as internal auditing does not certify the reliability and integrity of financial and operating information (that is the role of external auditing). Choice C is not the best answer as it only covers one aspect of internal auditing's purpose, and Choice D is also not the best answer as it only covers one of the areas that internal auditing reviews.

According to the Institute If Internal Auditors, the Best Description