Internal auditors
A) are hired by accounting firms to audit business firms.
B) are employees of the taxing authority who evaluate the internal controls of companies filing tax returns.
C) evaluate the system of internal controls for the companies that employ them.
D) cannot evaluate the system of internal controls of the company that employs them because they are not independent.

Question

Quizplus · Accepted Answer

Internal auditors are employees of a company and their primary responsibility is to evaluate the system of internal controls of the company that employs them. They provide independent and objective assurance on the effectiveness of risk management, control, and governance processes. Unlike external auditors who are hired by accounting firms, internal auditors are a part of the company's management team and have access to all the company's financial information.

Internal Auditors