AUI3703 Assignment 3
(COMPLETE ANSWERS)
Semester 2 2025 - DUE
September 2025
For assistance contact
Email:
, Question 1: Internal Audit Function
1.1 Purpose of the internal audit function
The purpose of the internal audit function at Mzansi Regional Hospital is to provide independent,
objective assessments of the hospital's financial, operational, and compliance processes. This is
intended to enhance quality, improve efficiency, and ensure regulatory compliance.
1.2 Internal audit mission statement
A mission statement for the internal audit function could be: "To enhance and protect
organizational value by providing risk-based and objective assurance, advice, and insight. We
assist Mzansi Regional Hospital in achieving its objectives by bringing a systematic, disciplined
approach to evaluate and improve the effectiveness of governance, risk management, and control
processes".
1.3 Definition of internal audit charter
The internal audit charter is a formal document that defines the scope, authority, and
responsibilities of the internal audit function. It establishes the internal audit function's position
within the organization, including the nature of the chief audit executive’s (CAE) functional
reporting relationship with the board, and defines the terms "independence" and "objectivity" as
they relate to the function.
1.4 Stages of risk-based auditing
The three stages involved in the implementation and ongoing operation of risk-based auditing
are:
1. Risk Assessment: The internal audit team begins with a comprehensive risk assessment
to prioritize audit areas. This stage involves identifying potential risks and reviewing
(COMPLETE ANSWERS)
Semester 2 2025 - DUE
September 2025
For assistance contact
Email:
, Question 1: Internal Audit Function
1.1 Purpose of the internal audit function
The purpose of the internal audit function at Mzansi Regional Hospital is to provide independent,
objective assessments of the hospital's financial, operational, and compliance processes. This is
intended to enhance quality, improve efficiency, and ensure regulatory compliance.
1.2 Internal audit mission statement
A mission statement for the internal audit function could be: "To enhance and protect
organizational value by providing risk-based and objective assurance, advice, and insight. We
assist Mzansi Regional Hospital in achieving its objectives by bringing a systematic, disciplined
approach to evaluate and improve the effectiveness of governance, risk management, and control
processes".
1.3 Definition of internal audit charter
The internal audit charter is a formal document that defines the scope, authority, and
responsibilities of the internal audit function. It establishes the internal audit function's position
within the organization, including the nature of the chief audit executive’s (CAE) functional
reporting relationship with the board, and defines the terms "independence" and "objectivity" as
they relate to the function.
1.4 Stages of risk-based auditing
The three stages involved in the implementation and ongoing operation of risk-based auditing
are:
1. Risk Assessment: The internal audit team begins with a comprehensive risk assessment
to prioritize audit areas. This stage involves identifying potential risks and reviewing
