During the audit of a government department, the auditor finds that a purchase was sanctioned by an officer whose delegated financial powers were lower than the value of the purchase. This finding relates primarily to:

Correct answer: C) Audit against sanction, since the expenditure was not sanctioned by the competent authority

Explanation

Audit against sanction verifies that every item of expenditure is sanctioned, either specially or generally, by an authority competent to do so. Here, the sanctioning officer lacked the delegated power, so the expenditure is irregular. There is no indication of personal benefit or budget excess in the facts.