A chief audit executive (CAE) is determining which engagements to include on the annual audit plan. She would like to consider the organization's attitude toward risk and the degree of difficulty in…

The correct answer is A. The corporate risk register. The corporate risk register is a comprehensive document that records identified risks, their assessment in terms of likelihood and impact, and the controls in place to manage them. It reflects the organization's attitude toward risk and highlights areas where achieving…

Managing the Internal Audit Activity

Question

A chief audit executive (CAE) is determining which engagements to include on the annual audit plan. She would like to consider the organization's attitude toward risk and the degree of difficulty in achieving objectives. Which of the following resources should the CAE consult?

Options

AThe corporate risk register.
BThe strategic plan.
CInternal and external audit reports.
DThe board's meeting records.

How the community answered

(28 responses)

A
86% (24)
B
4% (1)
C
4% (1)
D
7% (2)

Explanation

The corporate risk register is a comprehensive document that records identified risks, their assessment in terms of likelihood and impact, and the controls in place to manage them. It reflects the organization's attitude toward risk and highlights areas where achieving objectives may be difficult. The CAE should consult this resource to align the audit plan with the organization's risk profile and ensure that high-risk areas are appropriately audited.

Topics

#risk register#risk appetite#annual audit plan#CAE planning

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