What factor conceptually distinguishes external auditing and internal auditing?
A)tests of controls
B)substantive tests
C)education
D)constituencies

Question

Quizplus · Accepted Answer

The factor that conceptually distinguishes external auditing and internal auditing is their constituencies. External auditors have a responsibility to provide a reliable and unbiased opinion on the financial statements for the benefit of external stakeholders, such as investors and creditors. Internal auditors, on the other hand, have a responsibility to provide independent and objective assurance and consulting services to improve the organization's operations and achieve its objectives, for the benefit of internal stakeholders, such as management and the board of directors.

What Factor Conceptually Distinguishes External Auditing and Internal Auditing