The city auditor reviews security control evidence for a public-works system, while a state regulator later conducts a formal examination of the same environment. Which statement best distinguishes these activities?
Select an answer to reveal the explanation.
Short Explanation
Your own referee versus the league office—both check the game film, but only one can bench you from outside. Internal audit isn’t the same as a regulator’s exam.
Full Explanation
Internal audits provide assurance to management and governing bodies within the organization, while external regulatory examinations are performed by outside authorities and may be mandatory with legal force. Understanding the difference helps municipalities prepare appropriate evidence packages and response postures for each. Self-assessment and internal audit do not replace regulatory exams when those are required.