Chapter A: Definition of Internal Auditing

Question 1

Today, Internal Auditing focuses on

Answer 1

Integrated audits, where auditors provide assurance related to different engagement types.

Question 2

Financial Assurance Engagement Type

Answer 2

Providing assurance related to the achievement of one of more financial assertions (existence or occurrence, completeness, valuation and allocation, rights and obligations, presentation, disclosure).

Question 3

Controls Assurance Engagement

Answer 3

Provide assurance related to design and operation of key control activities; controls may be operational, financial, or compliance-related.

Question 4

Information Technology Engagement

Answer 4

Provide assurance related to design and operation of general IT control activities or specific application control activities.

Question 5

Operations Engagement

Answer 5

Provide assurance related to the effectiveness and efficiency of an organization’s operations, including performance and profitability goals and safeguarding resources against loss.

Question 6

Integrated Audits often include:

Answer 6

Operational, financial, IT, and compliance audits.

Question 7

The Board is

Answer 7

the highest level of governing body charged with responsibility to direct and/or oversee the activities and management of the organization.

Question 8

Board may refer to

Answer 8

audit committee to which the governing body has delegated certain function.