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    Question

    ……………………………………also known as proprietary audits, a primary organization evaluates the

    performance of a supplier or contractor.

    A First party audit Correct Answer Incorrect Answer
    B Second party audit Correct Answer Incorrect Answer
    C Third party audit Correct Answer Incorrect Answer
    D A & C Correct Answer Incorrect Answer

    Solution

    Audits can be classified in 3 ways based on the auditor/auditee relationship: - First Party: - This type of audit is a self-assessment, to internally verify that procedures and management strategies reflect the requirements of a standard and reflect business objectives. Second Party: - Also known as proprietary audits, a primary organization evaluates the performance of a supplier or contractor. Third Party: - Independent auditors from outside the organization conduct audits, often for purposes of certification.

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