According to the Standards, which of the following is true regarding the auditor's inclusion of management's satisfactory performance in the final audit report?
A.
Acknowledgement of satisfactory performance is encouraged but not required.
B.
There are no standards to address the inclusion of satisfactory performance.
C.
Satisfactory performance should only be acknowledged with the advice of corporate counsel.
D.
Auditors must include satisfactory performance with the approval of the board.
The International Standards for the Professional Practice of Internal Auditing encourage auditors to acknowledge satisfactory performance to provide a balanced report. However, it is not a mandatory requirement. Including positive observations can help foster a constructive relationship with management and provide a more balanced view of the audited area.
The Institute of Internal Auditors (IIA), International Standards for the Professional Practice of Internal Auditing (Standards)
"Internal Auditing: Assurance and Advisory Services" by Urton L. Anderson et al.
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