Question: Clarify the differences between internal auditing and external auditing.

Normally operational auditors are part of the internal audit department of an organization but operational audits can also be conducted by firms. External auditing is typically the audit performed by a CPA firm to render an opinion on the financial statements of a firm. Only licensed CPAs can issue an opinion on the financial statements of a company. Please discuss the features of both internal auditing and external auditing. We want to make these distinctions clear.