Student Forums CIA Part 1: Essentials of Internal Auditing Section IV: Quality Assurance and Improvement Program Question ID: CIA1 M1 Q067 (Topic: A. Required Elements of QAIP)

Question ID: CIA1 M1 Q067 (Topic: A. Required Elements of QAIP)

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  • #214232

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    This forum is restricted to members of the associated course(s).

    Umar Fahim
    Participant

    Which of the following persons might be considered when conducting a periodic external review of the IAA in an organization’s regional office?

    I. An auditor from headquarters.

    II. An internal audit “peer” from another organization’s IAA.

    III. A tax consultant who has no audit experience but will review only technical matters related to tax audits.

    IV. An external chartered accountant with internal auditing experience who has been an external auditor of the organization’s external financial reports.

    Why 1 and 4 are correct, I think they will not be independent?

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    Brian Hock
    HOCK international

    As with most of the things connected to internal audit, there is not a need to be independent like there is for external audit. The key is objectivity more than independence because in many ways the internal auditor cannot be independent from the company they work for.

    So, having an auditor from a different office, or an external auditor who has internal audit experience will both be acceptable for this type of periodic review of an offices IAA.

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