Certified Internal Auditor (CIA) Part 3: Business Knowledge for Internal Auditing — Question 162

An organization's internal audit activity performed an engagement regarding recent contract bidding. Who should the internal audit activity meet with in order to obtain reliable and relevant information about potential questionable practices related to the contract bidding?

Answer options

• A. Senior management, to obtain an understanding about the justification for contract bidding.
• B. Personnel responsible for the organization's fraud and ethics hotline, to obtain information related to contract bidding.
• C. Potential vendors, to obtain information about the bid packages related to contract bidding.
• D. Contracting department personnel to obtain information related to contract bidding practices.

Correct answer: D

Explanation

The correct answer is D because the contracting department personnel are directly involved in the bidding process and can provide specific insights into the practices being reviewed. Options A and B may provide some context but are not directly related to the practices themselves, while option C involves external parties who may not have accurate information about the organization's internal processes.