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Internal Auditors are dependent to the management. It will effect the objectivity if the internal auditors are restrcited from using its rights and performing responsibilities. It will not affect.
internal auditing is waste of time and fat budget hit the waste , if you set the accountabilities loud and clear and all your document cycle is a round circle " no
loose end " ,, then you dont need internal auditing and for more assuring you need an outside party to authenticate your methods and results .