Canadian Institute of Chartered accountants’ (CICa’s) Criteria of Control Framework (CoCo) lists 20 criteria for efficient monitoring of four areas of a company which are purpose, capability, commitment and monitoring &learning. Auditors should assess/evaluate not only known risks which concerns the attainment of specific goals but two additional risks which are fundamental to the sustainability of the organisation i.e. inability to recognise and explore …show more content…
The two forms of audit have distinct scope, functions and roles. Internal audit actions focuses mostly on nonfinancial procedures whereas external audit concentrates on accounting processes. The acknowledgement of their difference and knowledge that their function serves different purposes is essential to the complementary role played by the two types of audit. It is worthy of note that recognition of the differences will facilitate the achievement of competences and improvements in risk management, risk management and execution of the external audit.
In conclusion, from the above it suffices to say that internal audit differs from external audit. Both forms of audit are key constituents of Corporate Governance and though distinct from each other have complementary roles. . Internal audit when properly resourced and located are invaluable tools to the organisation giving objective and unbiased opinion on the happenings in a