The Chairperson of an Organization's Audit Committee Has Obtained a Risk

Multiple Choice

The chairperson of an organization's audit committee has obtained a risk management report that identifies significant industry concerns that impact the organization. The chairperson has asked the chief audit executive (CAE) to review these concerns and advise if they are relevant to the organization. How should the CAE respond?

A) Accept the engagement but communicate only with the audit committee to protect the confidentiality of the request.
B) Decline the engagement because it is outside of the scope of the internal audit charter.
C) Decline the engagement because it impairs the internal audit activity's independence.
D) Accept the engagement but inform senior management of the request.