Upon Discovering Fraud, Internal Auditors

Multiple Choice

Upon discovering fraud, internal auditors:

A) must fully investigate it and determine perpetrators, value, damage, and recommend possible action.
B) should only continue their investigation if the fraud is in the present or immediately previous period.
C) have an obligation to notify management or the board of directors when the incidence of significant fraud has been established to a reasonable degree of certainty.
D) must provide the audit committee and the board of directors with a preliminary written statement detailing the known facts and presenting reasonable suspicions as to perpetrators, values, methods, and time periods affected.