Which of the following is a key responsibility of internal auditors?

A key responsibility of internal auditors is assessing risk management and internal control systems. This involves evaluating the effectiveness and efficiency of an organization’s operations, its reliability in financial reporting, and its compliance with applicable laws and regulations. Internal auditors play a critical role in identifying potential risks that could hinder the achievement of organizational objectives, as well as ensuring that internal controls are put in place to mitigate those risks.

By regularly reviewing and testing these controls, internal auditors help organizations safeguard their assets, enhance operational efficiency, and ensure compliance with regulatory requirements. This process fosters a culture of accountability and continuous improvement in the organization’s risk management practices.

Other roles mentioned, such as ensuring compliance with external audits or reporting to shareholders, do not fall within the primary purview of internal auditors. Instead, those responsibilities are aligned more closely with the roles of external auditors or management. Conducting market research is also outside the primary function of internal auditors, as it focuses more on market conditions and customer preferences rather than internal risk management or controls.