Question

Audit carried out throughout the year to check effectiveness of internal control system of the organization is called:

• A. Operational Audit
• B. Concurrent Audit
• C. Management Audit
• D. Internal Audit

Hint:

Concurrent Audit is continuous and helps detect errors and fraud in real time.

Answer 1

The Correct Option is B

Step 1: Understand the types of audits.
- Operational Audit: Focuses on efficiency and performance.
- Concurrent Audit: Carried out throughout the year to check ongoing effectiveness.
- Management Audit: Focuses on management policies.
- Internal Audit: Checks internal controls periodically.
Step 2: Apply the definition.
Since the audit is carried out throughout the year to check internal controls, it is a Concurrent Audit.