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NEW QUESTION 30
The chief audit executive (CAE) has been asked to manage the regulatory compliance function for the organization's retail store operations. Store operations are included in the annual audit plan.
Which of the following strategies best fulfills the requirements of the Standards regarding these audits?

• A. The scope of store operations audits should exclude compliance.
• B. Store operations audits should be performed by an external service provider.
• C. Store operations audits can be fully executed with appropriate disclosure to the board.
• D. A store operations compliance audit should be performed by a staff internal auditor under the direction of the CAE.

Answer: B

NEW QUESTION 31
An internal audit charter should do which of the following?

• A. Communicate the internal audit activity's goals.
• B. Outline the schedule of future audits.
• C. Define the scope of internal audit activities.
• D. Establish the size of the internal audit activity.

Answer: C

NEW QUESTION 32
Management is developing and implementing a risk and control framework for use throughout the organization. Which of the following elements should be included in the organization's control framework?
1. Appropriate levels of authority and responsibility.
2. Supervision of staff and appropriate review of work.
3. The seniority of management in the organization.
4. The ability to trace each transaction to an accountable and responsible individual.

• A. 1.2, and 4.
• B. 1.3, and 4.
• C. 1,2, and 3.
• D. 2, 3, and 4.

Answer: D

NEW QUESTION 33
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