Which of the following statements best describes internal auditing?
A)An activity located within an entity, primarily to detect fraud.
B)An accounting function located within an entity.
C)An activity located within an entity that determines the fiscal integrity of a financial report.
D)An independent and objective assurance activity within an entity.

Question

Quizplus · Accepted Answer

Internal auditing is an independent and objective assurance activity within an entity. While it may contribute to fraud detection, it also provides a range of value-added services such as evaluating risk management, monitoring internal controls, and providing consulting services to management. It is not solely an accounting function or focused solely on determining the fiscal integrity of financial reports.

Which of the Following Statements Best Describes Internal Auditing