Internal Audit and Its History

Internal auditing is a profession and activity involved in helping organizations achieve their stated objectives. It does this by utilizing a systematic methodology for analyzing business processes, procedures and activities with the goal of highlighting organizational problems and recommending solutions. Professionals called internal auditors are employed by organizations to perform the internal auditing activity.

The Internal Auditing profession evolved steadily with the progress of management science after World War II. It is conceptually similar in many ways to financial auditing by public accounting firms, quality assurance and banking compliance activities. Much of the theory underlying internal auditing is derived from management consulting and public accounting professions. With the implementation in the United States of the Sarbanes-Oxley Act of 2002, the profession's growth accelerated, as many internal auditors possess the skills required to help companies meet the requirements of the law.

Послетекстовые упражнения

(The exercises to be done after reading the text)

Упражнение 6. Ответьте на вопросы.

1. What is internal auditing?

2. How does it do this?

3. What is the goal of internal auditing?

4. Why are internal auditors employed by organizations?

5. When did the internal auditing profession evolve?

Упражнение 7. Заполните пропуски соответствующими предлогами.

1.Internal auditing is a profession and activity involved…helping organizations achieve their stated objectives.

2. It does this…utilizing a systematic methodology for analyzing business processes.

3. Professionals called internal auditors are employed…organizations.

4. The internal auditing profession evolved…the progress of management science after World War II.

5. Much…the theory underlying internal auditing is derived from management consulting.

Упражнение 8. Закончите предложения, выбрав соответствующее по смыслу слово.

1.Internal auditing is…and activity involved in helping organizations.

a) work

b) profession

c) house

2.Professionals called internal auditors…the internal auditing activity.

a) to perform

b) to understand

c) to learn

3. Much of the theory underlying internal auditing is… from management consulting.

1. provided

2. derived

3. written

4. Many … possess the skills required to help companies meet the requirements of the law.

1. internal managers

2. directors

3. engineers

5.The internal auditing … evolved with the progress of management science after World War II.

1. book

2. profession

3. science

Unit 2

Organizational Independence of Audit and its Role in Internal Control

Предтекстовые упражнения

(The exercises to be done before reading the text)

Упражнение 1. Прочтите слова и словосочетания, постарайтесь запомнить их русские эквиваленты.

1. to perform - выполнять

2. effectively - эффективно

3. enable - давать возможность, право

4. customer - покупатель, клиент

5. entity - серьезность

6. charge - обвинять

7. oversight - оплошность

8. to improve - улучшать

Упражнение 2. Прочитайте вслух слова и сопоставьте их с русским значением.

effectively, to require, independence, to enable, evaluation, unrestricted , to charge, oversight, concurrence, to replace, to improve, to defined, to provide, assurance, achievement, objective, effectiveness, efficiency, compliance.

Упражнение 3. Переведите предложения на русский язык. Обратите внимание на новые слова и словосочетания.

1. To perform their role effectively, internal auditors require organizational independence from management.

2. Internal auditors are part of company management.

3. The primary customer of internal audit activity is the entity charged with oversight of management`s activities.

4. Internal auditing activity is directed at improving internal control.

5. Internal control is defined as a process to provide reasonable assurance the achievement of objectives.

Упражнение 4. Прочитайте и переведите слова на русский язык, обращая внимание на суффиксы и префиксы.

perform-performer

manager-management

concurrent-concurrence

dependence-independence

provide-provider

individual-individuality

direct-director

assure-assurance

achieve-achievement

law-lawyer

Упражнение 5. Найдите в правой колонке русские эквиваленты английских слов.

1.effectively	a.улучшать
2.enable	b.оплошность
3.customer	c.обвинять
4. entity	d.направлять
5.charge	e.покупатель
6.oversight	f.давать возможность
7.to improve	g.эффектно
8.direct	h.сущность

Text

Прочтите текст и переведите на русский язык.