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Question

In comparison to the independent auditor, an internal auditor is more likely to be concerned with ______________.

A
Cost accounting system
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B
Internal control system
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C
Legal compliance
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D
Accounting system
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Solution

The correct option is B Internal control system
Internal audit provides independent assurance on the effectiveness of internal controls and risk management processes to enhance governance and achieve organisational objectives where as the independent ( external or statutory) auditor carries out a general evaluation of internal control system as a part of the audit. Hence, in comparison to the independent auditor, an internal auditor is more likely to be concerned with "Internal Control System".

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