Discover the most appropriate information for the Chief Audit Executive to share with internal and external assurance providers when coordinating audit plans. Learn how to balance coordination and confidentiality.
Table of Contents
Question
Which of the following information is most appropriate for the chief audit executive to share when coordinating audit plans with other internal and external assurance providers?
A. Objectives, scope, and timing at a high level to support coordination while adhering to confidentiality requirements.
B. The area and timing of the audit engagement to ensure confidentiality and avoid conflict of interest.
C. All plan information, including risk assessments, planned tests, and past results to maximize the opportunity for coordination and efficiency with internal and external providers.
D. No information should be shared with internal and external providers, as it could introduce bias into the engagement results.
Answer
The most appropriate information for the Chief Audit Executive to share when coordinating audit plans with other internal and external assurance providers is:
A. Objectives, scope, and timing at a high level to support coordination while adhering to confidentiality requirements.
Explanation
When coordinating audit plans, the Chief Audit Executive should share high-level information about the objectives, scope, and timing of planned audits. This allows for effective coordination and helps identify potential areas of overlap or opportunities for collaboration with other assurance providers.
However, it’s important to balance the need for coordination with the requirement to maintain confidentiality. Sharing overly detailed information, such as specific risk assessments, planned tests, or past results (Option C), could potentially compromise the independence and objectivity of the audit engagements. It may also breach confidentiality agreements.
On the other hand, not sharing any information at all with other assurance providers (Option D) would make meaningful coordination impossible and could lead to duplication of efforts or gaps in coverage.
Simply sharing the area and timing of the audit engagement (Option B) may not provide enough context for effective coordination. The objectives and high-level scope are also important for other assurance providers to understand.
Therefore, Option A strikes the right balance by sharing key information needed for coordination, while still respecting confidentiality requirements. The Chief Audit Executive should use their professional judgment to determine the appropriate level of detail to share on a case-by-case basis, keeping the overarching goals of effective coordination and maintaining independence and objectivity in mind.
IIA-CIA-Part2 certification exam assessment practice question and answer (Q&A) dump including multiple choice questions (MCQ) and objective type questions, with detail explanation and reference available free, helpful to pass the IIA-CIA-Part2 exam and earn IIA-CIA-Part2 certification.