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• The internal auditor can point out to the auditor fundamental changes in the management
and internal control system which may have effect on the auditor's report.
• The external auditor can use the internal auditor's working papers to gather evidence
concerning the company's operations; programs. The internal auditor can explain
technical operations or controls used by the company that the external auditor does not
have adequate knowledge.
• He can undertake verification of assets in particular mobile assets, assets held by third
parties and branches or subsidiaries which the external auditor may not have a chance to
physically verify during his presence.
• Internal auditors can prepare schedules relating to items in their accounts e.g. asset
schedules, debtors schedule, creditors schedules etc. which are important for comparison
to be made by the external auditor.
Kavungya answered the question on May 14, 2019 at 12:48
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Date posted: May 14, 2019. Answers (1)