An internal auditor is an
auditor
An auditor is a person or a firm appointed by a company to execute an audit.Practical Auditing, Kul Narsingh Shrestha, 2012, Nabin Prakashan, Nepal To act as an auditor, a person should be certified by the regulatory authority of accounting an ...
who is appointed by the
Board of directors of the company in order to carry out the
internal audit
Internal auditing is an independent, objective assurance and consulting activity designed to add value and improve an organization's operations. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach t ...
function. Generally an employee of the company acts as an internal auditor, whereas some companies appoint an external expert as an internal auditor.
Though an internal auditor is appointed by the management or an employee of the company, independence is the prime requisite for the execution of an internal audit. Compromise in independence may distort the objectivity of an internal audit.
An internal auditor is responsible to the Board functionally and administratively to the management of the company, and the auditor submits the report to the Board.
See also
*
internal audit
Internal auditing is an independent, objective assurance and consulting activity designed to add value and improve an organization's operations. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach t ...
References
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Internal audit