Discuss why it is crucial that internal auditors report solely to the audit committee of the board of directors and answer to no other group.

Expert Solution

The internal auditors are responsible for detecting and pursuing fraud within the firm. If management-level employees are involved, the internal auditors may fear losing their jobs if they blow the whistle on such activities. Thus, the internal auditors should report to the board of directors so that they do not fear any repercussions of their actions from top management.

They do not fear any repercussions of their actions from top management.

Junaid answered 10 months ago

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