A Company's Chief Audit Executive Determines That the Internal Audit

Multiple Choice

A company's chief audit executive determines that the internal audit staff does not have the requisite skills to conduct an audit of the financial derivatives area. Which of the following actions would be the least acceptable?

A) Notify the audit committee of the problem and consult with them regarding outsourcing the audit engagement to a qualified external auditing firm.
B) Determine the requisite knowledge needed and obtain the proper training for auditors if such training is available within the appropriate time framework outlined by the audit committee.
C) Notify the audit committee of the problem and assign the most competent auditors to perform the audit engagement.
D) Employ the skills of a financial derivatives expert to consult on the project, and supplement the consulting with a local seminar on financial derivatives.