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During an engagement to review payments under a construction contract with a local firm, the internal auditor found a recurring monthly reimbursement for rent at a local apartment complex. Each reimbursement was authorized by the same project engineer. The internal auditor found no provision for payment of temporary living expenses in the construction contract. Discussion with the project engineer could not resolve the matter. The internal auditor should
A. Inform the chief audit executive.
B. Call the engineer into a private meeting to confront the situation.
C. Complete the engagement as scheduled, noting the recurring reimbursement in the working papers.
D. Wait until the engineer is surrounded by plenty of witnesses and then inquire about the payments.
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