Final answer:
Internal audits can be performed by external auditors, while the primary goals and emphasis on objectivity and audit trail are common to both internal and external audits.
Step-by-step explanation:
Option a) is not true because internal audits can be performed by external auditors when a company outsources its internal audit function to a third-party audit firm. External auditors may also be involved in performing internal audits for specific areas or projects within the organization.
The primary goals of an internal audit and an external audit are somewhat different. The primary goal of an internal audit is to evaluate and improve the effectiveness of internal controls, risk management, and governance processes within an organization, while the primary goal of an external audit is to express an opinion on the fairness and reliability of an organization's financial statements.
Both internal and external audits emphasize the importance of objectivity in conducting the audit evaluation. Objectivity ensures that the auditors' judgments and opinions are unbiased and free from any undue influence, allowing for an independent assessment of the organization's operations and financial reporting.
Both internal and external audits rely heavily upon the audit trail of transactions in an accounting system. The audit trail provides evidence of the completeness, accuracy, and validity of financial transactions, facilitating the auditors' assessment of controls and identification of potential risks or irregularities.