The internal auditing staff of a large corporation usually reports to a committee of the board of directors, to a member of the top management group, or both.

Governmental auditors’ independence and objectivity are enhanced when they report theresults of an audit assignment directly toa. Managers of the government agency under audit and in which the auditors are employed.b. The audit committee of directors of the agency under audit.c. Political action committees of which they are members.d. The congressional committee that ordered the audit.

Steve Ankenbrandt, president of Beeb Corporation, has been discussing the company’s internal operations with the presidents of several other multidivision companies. Ankenbrandt discovered that most of them have an internal audit staff. The activities of the staffs at other companies include financial audits, operational audits, and sometimes compliance audits.   Required: Describe the meaning of the following terms as they relate to the internal auditing function: a. Financial auditing.       b. Operational auditing.       c. Compliance auditing.