Which of the following would offer the strongest evidence to support the internal auditor's conclusion that a product is in stock, as stated in the accounting records?
A.
The auditor performs an observation.
B.
The vendor provides third-party confirmation.
C.
The auditor documents interviews with multiple warehouse personnel.
D.
Warehouse management submits photographs of the product on the inventory shelf.
Direct observation by the auditor provides the strongest and most reliable evidence of inventory existence, per IIA Standard 2310: Identifying Information. Observational evidence is primary and directly verifiable, whereas third-party confirmations (Option B) or photographs (Option D) may be manipulated. Interviews with personnel (Option C) provide insight but lack objectivity and reliability compared to physical observation. This aligns with the CIA syllabus emphasis on collecting sufficient and appropriate audit evidence (Part 2: Section II).
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