If an Engagement Client Disputes That a Specific Action or Process

question 258

Multiple Choice

If an engagement client disputes that a specific action or process is within the scope of the internal audit activity, what would be the most appropriate way for the internal audit activity (IAA) to respond?

• A) Terminate the audit engagement in full because an operational audit will not be productive without the client's cooperation.
• B) Terminate only the specific action or process with which the client disagrees and work to determine a substitute function that will not impede further IAA or the client-audit relationship.
• C) Refer the client to the IAA's charter and the approved yearly audit plan, which includes the areas designated for audit in the current time period.
• D) Seek the approval of senior management or the board in mediation, allowing an overseer to clarify the scope of the audit engagement for the client.

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Definitions:

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An educational or training program designed to meet the needs of a particular group of people, such as students with disabilities or gifted students.

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The presence of certain elements in a test that systematically prevent accurate, fair, or equitable measurements across different groups of test-takers.

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