internal auditing
The Council of the Malaysian Institute of Accountants has approved this Guideline for publication.
These guidelines have been adapted by the Internal Audit Committee of the Malaysian Institute of Accountants from the publication "Guidance for Internal Auditors" issued in June 1990 under the aegis of the Consultative Committee of Accountancy Bodies (CCAB) in the United Kingdom.
These guidelines provide advice to internal auditors on the main issues and procedures which they need to consider as part of their work in both the commercial and public sectors. They should also be of benefit to organisations considering establishing an internal audit function.
Internal auditors should read these guidelines in conjunction with the Approved Auditing Standards contained in the Members' Handbook and the Institute's By-Laws (On Professional Ethics, Conduct and Practice) [Issued January 2007] and any requirements regarding internal audit set out in the relevant statutes or regulations.
These guidelines are intended to be persuasive only.
A glossary of terms used in these guidelines are given in the appendix to the guideline.
:: OBJECTIVES AND SCOPE OF INTERNAL AUDIT ::
1. Internal audit is an independent appraisal function established by the management of an organisation for the review of the internal control system as a service to the organisation. It objectively examines, evaluates and reports on the adequacy of internal control as a contribution to the proper, economic and effective use of resources.
2. The essentials for effective internal auditing are:
(a) independence
The internal auditor should have the independence in terms of organisational status and personal objectivity which permits the proper performance of his duties (paragraphs 11 to 14). (b) staffing and training
The internal audit unit should be appropriately staffed in terms of numbers, grades, qualifications and experience, having regard to its responsibilities and objectives. The internal auditor should be
These guidelines have been adapted by the Internal Audit Committee of the Malaysian Institute of Accountants from the publication "Guidance for Internal Auditors" issued in June 1990 under the aegis of the Consultative Committee of Accountancy Bodies (CCAB) in the United Kingdom.
These guidelines provide advice to internal auditors on the main issues and procedures which they need to consider as part of their work in both the commercial and public sectors. They should also be of benefit to organisations considering establishing an internal audit function.
Internal auditors should read these guidelines in conjunction with the Approved Auditing Standards contained in the Members' Handbook and the Institute's By-Laws (On Professional Ethics, Conduct and Practice) [Issued January 2007] and any requirements regarding internal audit set out in the relevant statutes or regulations.
These guidelines are intended to be persuasive only.
A glossary of terms used in these guidelines are given in the appendix to the guideline.
:: OBJECTIVES AND SCOPE OF INTERNAL AUDIT ::
1. Internal audit is an independent appraisal function established by the management of an organisation for the review of the internal control system as a service to the organisation. It objectively examines, evaluates and reports on the adequacy of internal control as a contribution to the proper, economic and effective use of resources.
2. The essentials for effective internal auditing are:
(a) independence
The internal auditor should have the independence in terms of organisational status and personal objectivity which permits the proper performance of his duties (paragraphs 11 to 14). (b) staffing and training
The internal audit unit should be appropriately staffed in terms of numbers, grades, qualifications and experience, having regard to its responsibilities and objectives. The internal auditor should be