Answer: For the highest degree of independence the director of internal auditing should report directly to the agency head
Step-by-step explanation:
The internal auditor should report to the highest feasible organizational level, preferably to the agency head or a major official who reports directly to the agency head, in order to offer an acceptable level of independence.
otherwise, According to best practices, the internal auditor should directly report to the audit committee or its equivalent in order to ensure the requisite independence. The interaction between the audit committee and internal auditors must include the five activities.