The chief audit executive at Thornleigh Assurance has completed a final engagement communication that includes several significant observations. A junior auditor asks who should be on the distribution list. Which approach should the chief audit executive follow when deciding who receives the final communication?
- ASend it exclusively to the audit committee chair, who will decide which managers may see it
- BProvide it to those who can ensure the results receive due consideration and to parties responsible for corrective action Correct
- CDistribute it to the entire staff of the audited unit so the whole team is aware of the results
- DRelease it to external regulators first and then decide whether internal management needs a copy
Why A is wrong: This overstates the chair's gatekeeping role; while the board receives results, the chief audit executive determines distribution and communicates directly to those who can act on the findings.
Why B is correct: The chief audit executive directs the final communication to those positioned to act on it and to give it appropriate weight, which is the governing distribution principle.
Why C is wrong: Broad internal circulation seems transparent, but the communication should reach parties who can ensure the results are given due consideration, not the whole workforce regardless of role.
Why D is wrong: This inverts the process; external release outside the organisation is a separate governed decision and would not precede communicating to the management responsible for acting on results.