B. Examining a sample of expenditures should be performed because it can determine whether the city is following procedures to ensure that only allowable costs are charged to the program, as required by the grant. C. Comparing actual results with budgeted results, determining deviations and whether such deviations have been approved by appropriate officials should be performed because it can determine whether the city is following procedures to ensure that the budget is adhered to, as required by the grant.

D. The city's internal auditors are responsible for determining whether the city is in compliance with the grant requirements. Whether the budget was reviewed and approved by supervisory personnel within the granting agency is outside the scope of the audit and therefore should not be performed.