Question 1153 - CISA discussion

The authority given to the audit function is one of the components that is found in an audit charter.According to the IIA, the audit charter is a formal document that defines internal audit's purpose, authority, responsibility and position within the organization1.The authority given to the audit function includes the scope of its activities, the access to records, personnel and physical properties relevant to its work, and the independence and objectivity of its staff2.The authority given to the audit function helps to ensure that internal auditors can perform their duties effectively and efficiently, and that they can provide assurance and consulting services that add value and improve the organization's operations3.

The other options are not found in an audit charter.The process of developing the annual audit plan is not part of the audit charter, but rather a separate document that outlines the methodology, criteria and resources for selecting and prioritizing audit engagements based on a risk assessment4.Required training for audit staff is not part of the audit charter, but rather a component of the quality assurance and improvement program that evaluates the competence and performance of internal auditors and provides them with opportunities for professional development5. Audit objectives and scope are not part of the audit charter, but rather specific elements of each individual audit engagement that define the expected outcomes and the boundaries of the audit work.