How should I remember the different responsibilities of the board, CAE, supervisors, and audit staff?

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AcadiFi · Accepted Answer

A good way to remember responsibilities is to tie them to the level of authority. The board approves the charter, receives major results, and protects independence. The CAE manages the activity, sets the plan, assigns resources, and escalates significant matters. Supervisors direct engagement execution, review work, and coach staff. Staff perform procedures, document evidence, and raise issues through the chain.

Suppose Harborline Utilities plans a payroll audit with expected fieldwork of 120 hours. The audit committee approves the annual plan and expects a summary of major payroll findings. The CAE decides the engagement belongs on the plan, assigns a supervisor and two auditors, and approves staffing. The supervisor creates milestones, reviews workpapers after every testing cycle, and ensures sampling supports the objective. Staff perform walkthroughs, select 25 transactions, document exceptions, and escalate gaps in approval evidence. Each level acts differently, even though all of them care about the audit's success.

The exam trap is giving staff or supervisors powers that belong to the board or CAE. If the action sounds like enterprise oversight or formal independence protection, think board. If it sounds like activity leadership and escalation, think CAE. If it sounds like review and coordination, think supervisor. If it sounds like execution and documentation, think staff. Practice more in our CIA question bank.

How should I remember the different responsibilities of the board, CAE, supervisors, and audit staff?

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