Reactive change is planned.

Which of the following best describes the most important objective of an internal audit charter?

a) to establish the audit committee's role in overseeing the internal audit department b) to provide new members of the audit staff with a clear indication of their job duties c) to help establish criteria by which the work of each audit team may be evaluated d) to establish the purpose, authority, and responsibility of the internal auditing department e) to better inform operating management as to what auditors will be doing an audit

LEVERAGE measures such as the current ratio and quick ratio focus on the ability of a firm to meet its short-term obligations

Indicate whether the statement is true or false