IIA-CIA-PART2 · Question #300
While conducting a review of the logistics department the internal audit team identified a crucial control weakness. The chief audit executive (CAE) decided to prepare an audit memorandum for…
The correct answer is C. To allow management to address the identified weakness timely. The most likely reason the Chief Audit Executive (CAE) decided to prepare an audit memorandum for management of the logistics department is to allow management to address the identified weakness timely. An audit memorandum serves as a formal communication that highlights the…
Question
While conducting a review of the logistics department the internal audit team identified a crucial control weakness. The chief audit executive (CAE) decided to prepare an audit memorandum for management of the logistics department followed by an informal meeting What is the most likely reason the CAE decided to prepare the audit memorandum?
Options
- ATo report up-to-date audit progress to management
- BTo ensure that the internal audit team and the CAE are aligned with regard to the identified
- CTo allow management to address the identified weakness timely
- DTo obtain management's agreement with regard to the identified weakness
How the community answered
(30 responses)- A7% (2)
- B3% (1)
- C87% (26)
- D3% (1)
Explanation
The most likely reason the Chief Audit Executive (CAE) decided to prepare an audit memorandum for management of the logistics department is to allow management to address the identified weakness timely. An audit memorandum serves as a formal communication that highlights the issue and provides management with the necessary details to understand and address the control weakness promptly. This approach facilitates immediate corrective action, thereby reducing the risk associated with the identified weakness.
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