Andile Uzoma is the CEO of Chibuzo Incorporated.The board of directors has recently demanded that they receive more assurance that Chibuzo Incorporated is operating in an efficient,effective manner.Which type of audit would best suit the demands of the board of directors?
A)Financial audit.
B)Information system audit.
C)Operational audit.
D)Sustainability audit.

Question

Quizplus · Accepted Answer

An operational audit is designed to evaluate the effectiveness and efficiency of an organization's operations, which would provide the board of directors with assurance that Chibuzo Incorporated is operating in an efficient and effective manner. A financial audit only focuses on the financial statements, while an information system audit is specific to the integrity and security of information systems. A sustainability audit is focused on environmental, social, and economic impacts, which is not directly related to the board's concerns about efficiency and effectiveness.

Andile Uzoma Is the CEO of Chibuzo Incorporated