Question

Identify the role and responsibilities that an internal audit staff typically assumes in a company's internal control system.

Answer 1

An internal audit staff assumes some very important roles and responsibilities. They can be found in audit section 322. The section lists the responsibilities of “providing analyses, evaluations, assurances, recommendations, and other information to the entity’s management and board of directors.” One important responsibility the section discusses is the monitoring of an entity’s controls. Watching a business's controls take place is one of the most reliable ways to confirm that they are working properly. This will also give the auditor a better understanding ofthe internal controls and how they work. They will then review the effectiveness and efficiency ofthe internal control system. If the system is not effective they can make recommendations on how to improve the internal controls. One very important responsibility that would have gone a long way in the Avon case is to make sure the company is complying with all relevant laws and regulations. It is up to the internal auditor to make sure the company is not breaking any laws