Skip to content

CS Professional · Compliance Management, Audit and Due Diligence · Internal Audit and Performance Audit

Before relying on the internal audit function of Bharat Agro Ltd, its external auditor wants to coordinate the work. Which of the following is NOT among the matters SA 610 (Revised) suggests may be useful to address in discussing planned use of the internal audit function's work?

Remuneration payable to the internal auditors is not listed. SA 610 (Revised) suggests discussing timing, nature and extent of work, materiality and performance materiality, item selection and sample sizes, documentation, and review and reporting procedures when coordinating with the internal audit function.

  1. AThe timing of such work
  2. BProposed methods of item selection and sample sizes
  3. CDocumentation of the work performed
  4. DThe remuneration payable to the internal auditorsCorrect

Explanation

The listed matters include timing, nature of work, extent of coverage, materiality and performance materiality, item selection methods and sample sizes, documentation, and review and reporting procedures. Remuneration of internal auditors is not listed, so option D is the one not included.

Did you get it right without looking?

One question tells you little. A timed set on Internal Audit and Performance Audit shows your real accuracy, how long you take and where you lose marks.

Practise Internal Audit and Performance AuditFree diagnostic mock

More Internal Audit and Performance Audit questions