Internal audit
Internal audit is an independent, objective assurance and advisory activity within an organisation that evaluates and helps improve governance, risk management and control. Its reporting arrangements and work depend on its mandate. External auditors consider its work under applicable standards where relevant.
Worked example
Internal auditors test purchasing controls and report weaknesses and recommendations to the audit committee.
Common mistake
Internal audit is not the same engagement as the independent external audit of financial statements.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | AA | Direct | September 2026–June 2027 |
| ACCA | AAA (INT) | Direct | September 2026–June 2027 |
| ACCA | BT | Direct | September 2026–June 2027 |
| ACCA | SBL | Direct | September 2026–June 2027 |
| FIA | FBT | Direct | September 2026–June 2027 |