Answer to Question #225848 in Finance for Anisha Kumar

Question

Internal auditors normally report to the chief financial officer. (a) What do you think are the roles of the internal auditor? (b) Is there likely to be an adversarial or collegial relationship between the internal auditor and the chief financial officer? (c) Which type of relationship is likely to be most beneficial to the firm?

Answer 1

Internal auditor usually assses the business and IT procedures of a firm. The personal similarly assses the risks related with the business as well as risk management efforts' efficacy. The official makes sure the company complies with statutes and relevant laws.

The internal auditor files all the reports regarding the specific issues as he or she reports to the chief executive officer.

The reporting aspects benefits the company in terms of making sure the organization maintains the standards required for the work-flow.