A Chief Audit Executive (CAE) Is Obtaining Information Required by a Regulatory

question 116

Multiple Choice

A chief audit executive (CAE) is obtaining information required by a regulatory oversight body and discovers a situation that requires management to take immediate corrective action. What is the best course of action for the CAE to take?

• A) Wait until all of the information has been gathered and reported to the oversight body before reporting the situation to management.
• B) Check with legal counsel to determine whether the situation can be reported to management before all information has been submitted to the oversight body.
• C) Report the situation to management immediately.
• D) Schedule an engagement to explore the situation in depth, before reporting to either management or the oversight body.

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Definitions:

Sort Key

A field or set of fields used to determine the order in which data is sorted in a database or data structure.

Major Sort Key

The primary criterion used to organize data or records in order of importance or relevance.

Minor Sort Key

A secondary criterion used in sorting data, which is applied after the primary sort key to further organize the data when primary keys are identical.

Parameter Query

A type of database query that requires the user to input one or more parameters to execute the query and retrieve specific data.