The Chief Audit Executive (CAE) of a Small Internal Audit

question 450

Multiple Choice

The chief audit executive (CAE) of a small internal audit activity (IAA) performs all high-risk engagements on the annual audit plan to make use of his knowledge and experience and to maximize the efficient use of audit resources. Which of the following statements is most relevant regarding this practice?

• A) The CAE's work may be reviewed by any other experienced staff member within the IAA.
• B) The CAE's work should be reviewed by an individual with the appropriate background and knowledge.
• C) The CAE may self-review his work, provided he discloses this practice in the final report.
• D) The CAE should avoid performing engagements to ensure he is able to review all audit work objectively.

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Definitions:

Developmental Feedback

Constructive feedback provided to individuals to support their professional growth and development.

Subordinates' Behavior

The actions and interactions of employees directed by individuals in higher positions within the organizational hierarchy.

Faith-Based Businesses

Enterprises that are grounded in and operate according to the principles of a particular faith or religious set of beliefs, often integrating moral and ethical considerations into business practices.

Compensation

The total amount of the monetary and non-monetary pay provided to an employee by an employer in return for the work performed as required.