With Regard to External Assessments of an Internal Audit Activity

question 186

Multiple Choice

With regard to external assessments of an internal audit activity (IAA) , which of the following is the chief audit executive required to discuss with the board?

• A) External reviewer conflicts of interest, and the need for an external assessment more frequently than once every five years.
• B) External reviewer conflicts of interest, and the timeline of the external assessment.
• C) The need for an external assessment more frequently than once every five years, and the simplest method for the external reviewer to join the IAA's organization.
• D) The simplest way for the external reviewer to join the IAA's organization, and the timeline of the external assessment.

---

Definitions:

Unemployment Insurance

A state-funded initiative offering monetary support to people unemployed due to circumstances beyond their control.

Nominal Interest Rate

Nominal interest rate is the stated or face interest rate on a loan or financial product, not adjusted for inflation, representing the actual percentage charged on the principal amount.

Expected Rate

The anticipated return on an investment, often based on historical performance and future projections.

Inflation

The inflationary pace at which prices for all goods and services mount, lessening purchase value.