Certified Internal Auditor (CIA) Part 2: Practice of Internal Auditing — Question 146

Which of the following is an appropriate engagement objective for an upcoming audit of the organization’s governance system?

Answer options

• A. Assess the design, implementation, and effectiveness of the organization’s ethics program.
• B. Assess the completeness and accuracy of the management letter section of the organization’s annual report.
• C. Assess whether privacy controls over a client’s personally identifiable information are in compliance with state regulations.
• D. Assess the accuracy of calculations and timeliness of tax payments to the government.

Correct answer: A

Explanation

The correct answer is A because assessing the ethics program is directly related to governance, which is the focus of the audit. Options B, C, and D are more specific to financial reporting, compliance with regulations, and tax matters, which do not align with the primary goal of evaluating the governance system.