Which Rule of Conduct for Internal Auditors States That They

question 18

Multiple Choice

Which Rule of Conduct for internal auditors states that they are to disclose all material facts known to them that, if not disclosed, may distort the reporting of activities under review?

• A)Objectivity
• B)Integrity
• C)Competency
• D)Confidentiality

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Definitions:

Annual Cash Flows

The net amount of cash and cash equivalents being transferred into and out of a business over a year, reflecting its operational efficiency and financial health.

Crossover Point

The point at which two or more alternative investments achieve the same cumulative cash flow or rate of return.

Mutually Exclusive

A condition where the occurrence of one event precludes the occurrence of another in decision making or statistical probability.

Discount Rate

The rate applied in DCF assessment to compute the present worth of imminent cash flows.