Certified Internal Auditor (CIA) Part 2: Practice of Internal Auditing — Question 272
Which of the following steps is conducted first in the planning stage of an assurance engagement?
Answer options
- A. Identification of the inherent risks of the audited process or project
- B. Identification of objectives of the audited process or project
- C. Identification of risk responses applied for the audited project or process
- D. Identification of the design of controls of the audited process or project
Correct answer: B
Explanation
The correct answer is B because identifying the objectives of the audited process or project is crucial to guide the entire engagement. The other options, while important, are secondary steps that depend on the established objectives.