--- When substantial risk exposures or material control weaknesses are discovered during a formal consulting engagement, the internal auditor's concerns may be reported to: Executive managemenet. Audit Committee Board of directors. All of the above. Question 12 (2 points) Which of the following fraudulent entries is most likely to be made to conceal the theft of an asset? Debit expenses and credit the asset. Debit the asset and credit another asset account. st Question 1 (9 points) The process of evaluating and escalating observations during an assurance engagement can be relatively complex. It involves several steps and requires a number of professional judgments. A. What judgments must an internal audit team make during the observations evaluation and escalation process? B. What are the three levels of observation importance? Briefly describe each level. C. Why is it important to carefully document the conclusions reached as a result of performing the observation and escalation process