Internal auditor

Internal auditor is an auditor who works directly for a company auditing its activities throughout the year. Internal auditors of corporations are often not certified auditors, though they usually have significant accounting experience. They should report directly to the board of directors of the corporation.

An internal auditor evaluates internal controls, risk management, and governance processes to enhance operational efficiency and compliance.

- Used in audit planning to understand risks and design procedures.
- Used during testing (controls/substantive) and documentation of audit evidence and conclusions.

- Example: The auditor references **Internal auditor** when designing procedures and documenting conclusions in the audit file.

- Why it matters: Supports high-quality, defensible audit conclusions and helps detect material misstatements and control weaknesses.