When developing an effective risk-based plan to determine audit priorities, an internal audit activity should start by:
A) Identifying risks to the organization's operations.
B) Observing and analyzing controls.
C) Prioritizing known risks.
D) Reviewing organizational objectives.

Question

Quizplus · Accepted Answer

Reviewing organizational objectives is the first step because it helps align the audit priorities with the strategic goals and objectives of the organization, ensuring that the audit focuses on areas that are most critical to achieving those objectives.

When Developing an Effective Risk-Based Plan to Determine Audit Priorities