Which of the following actions best demonstrates an internal auditor exercising due professional care?

Question

Options

• ATesting an entire population, even when a sample would suffice
• BUsing technology and data analysis techniques for efficiency
• CEstablishing audit objectives, performing audit tests, and implementing missing controls

• A
  6% (2)
• B
  81% (29)
• C
  14% (5)

Explanation

Due professional care requires auditors to apply the diligence and skill expected of a reasonably prudent auditor - and option B exemplifies this by using available technology and data analysis to work efficiently and effectively, which is explicitly cited in IIA standards as an element of due care.

Option A is wrong because testing an entire population when sampling would suffice is over-auditing - it wastes resources without proportionate benefit, which is the opposite of prudent efficiency.

Option C is wrong because internal auditors should recommend corrective actions for control gaps, not implement missing controls themselves - doing so would compromise auditor independence, a separate but equally critical standard.

Memory tip: Think of due professional care as the "reasonable prudent auditor" test - would a competent professional use smart tools and sound judgment, or exhaustively test everything and cross professional boundaries? The answer is always the balanced, skilled middle path.

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