When preparing the annual internal audit plan, which of the following should the chief audit executive (CAE) consider to optimize efficiency and effectiveness?
A.
The CAE should review the objectives and scope of the external audit plan and consider including audits with the same objectives and scope to ensure thorough coverage of the area
B.
The CAE should review the audit plan prepared by the compliance department and coordinate any audits in the same areas to reduce duplication of objectives and minimize disruption to the area under review
C.
The CAE should avoid reviewing plans by internal or external assurance providers to increase effectiveness and reduce bias in internal audit selection
D.
The CAE should review operational quality assurance audit plans, place reliance on the areas covered, and exclude those areas from final consideration in the annual internal audit plan
To optimize efficiency, the CAE should coordinate with other assurance providers such as compliance, quality assurance, and external auditors. This reduces duplication, minimizes disruption, and ensures resources are used effectively.
Option A may lead to unnecessary duplication rather than coordination. Option C contradicts IIA guidance, which emphasizes coordination (Standard 2050). Option D excludes areas entirely, which is inappropriate because internal audit must still assess whether reliance is valid.
[Reference:, IIA Standards – Standard 2050: Coordination and Reliance., , ]
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