An internal audit engagement was included in the approved internal audit plan. This is considered a moderately high-risk audit based on the internal audit function’s risk model. It is currently on a two-year audit cycle. Which of the following will likely have the greatest impact on the scope and approach of the internal audit engagement?
a. The area being audited involves the processing of a high volume of transactions.
b. Certain components of the process are outsourced.
c. A new system was implemented during the year, which changed how the transactions are processed.
d. The total dollars processed in this area are material.