The Chief Audit Executive (CAE) of a New Organization Is

question 26

Multiple Choice

The chief audit executive (CAE) of a new organization is in the process of determining the manner in which audit reports will be distributed and to whom. According to the Standards, which of the following is the most appropriate course of action for the CAE to take to develop this distribution process?

• A) The process should be determined in meetings with the external auditor and senior management to ensure alignment with external reporting.
• B) The CAE should meet with senior management for their input, but finalize the distribution of all reports with the board.
• C) The CAE should independently implement the report distribution, using best judgment to ensure that all relevant stakeholders are informed.
• D) The CAE should request that senior management and the board meet to determine the most appropriate reporting method.

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Definitions:

Cognitive

Relating to cognition, involving the processes of thinking, understanding, learning, and remembering.

Physical

Relating to the body as opposed to the mind or emotions, involving bodily movements or activities.

Emotional

Pertaining to feelings or psychological states that involve a person's mood, temperament, personality, and disposition.

Critical Periods

Specific times during an organism's life span when it is especially sensitive to environmental influences or stimulations.