Accounting Multiple Choice Question – 17 March 2026

The scope and objectives of the internal audit function vary widely and depend on the size and structure of the entity and the requirements of its management.

Which ONE of the following functions could the internal audit perform and still operate effectively?

Select ONE answer:

1. Authorisation of unusual transactions
2. Development of internal control systems
3. Examination of financial and operating information
4. Review of the company’s compliance with website design standards

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct – Authorising unusual transactions and developing internal control systems are part of the accounting function in an entity. For the internal audit function to operate objectively and independently, it should not be involved in these activities.
4. Not correct

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