In which of the following situations may the internal audit activity report conformance with the Standards?

In which of the following situations may the internal audit activity report conformance with the Standards?
A . An internal audit activity has been in existence at least five years and has not completed an
external assessment,
B . An internal auditor was assigned to an audit engagement but did not meet individual objectivity requirements.
C . The internal audit activity prepared an internal audit plan that was not risk-based.
D . The internal audit activity has been in existence fewer than five years, but periodic self-assessments were conducted.

View Answer

Answer: D

Explanation:

According to the Standards set by the Institute of Internal Auditors (IIA), an internal audit activity may report conformance with the Standards even if it has not been in existence for more than five years provided that it has conducted periodic self-assessments and meets the other necessary criteria of the IIA standards. External assessments are required at least once every five years, but conformance can still be reported if internal assessments are conducted in the interim.

Reference: The Institute of Internal Auditors (IIA) – International Standards for the Professional Practice of Internal Auditing.