Internal auditing is an essential part of internal control. The internal control system is designed by companies for the purpose of efficient and effective business processes, reliable financial reporting, and compliance with rules and regulations are assessed through internal audit activities. The internal audit examines the adequacy and effectiveness of internal controls and makes recommendations where control improvements are needed. Internal auditors are company employees who continuously evaluate the effectiveness of a company’s internal control systems. Internal auditors play a significant role in the verification that management has met its responsibility. Internal audits are internal but independent assurance functions.