Final answer:
The correct example of a compliance audit is B. Auditing the observance of the terms of a credit contract, as it directly involves assessing adherence to legal agreements or regulations.
Step-by-step explanation:
An example of a compliance audit is auditing the observance of the terms of a credit contract. Compliance audits are assessments designed to ensure that a company or a business unit is following external laws, regulations, and internal guidelines or agreements. So, the correct answer is:
B. Auditing the observance of the terms of a credit contract.
The other options, while they are types of audits, do not fall under the category of compliance audits specifically. Auditing whether the preparation of financial statements is done in accordance with accounting standards is an example of a financial audit, and auditing whether the affiliated units are operating effectively and with results could be more related to an operational or performance audit.