27 November 2009
The scope of internal audit is to be decided by the management. There is no statutory requirement on the scope of activities to be conducted by an internal auditor.
CARO requires the Statutory auditor of the Company to state whether the internal audit system in the company commensurates with the size and the nature of the business.
28 November 2009
Agree.. It all depends upon the scope of audit & size of business operations. No statutory requirement on such issue for Internal auditor. Further, preparation & presentation of financial statements is the responsibility of management & those charged with governance. It is not the resp of Internal Auditor.
CAclubindia
