This study addresses itself to aspects of the nature of internal auditing. Perhaps we can make this title still more meaningful by focusing on the key terms used. The nature of that is the essential qualities or the general characteristics of something, here it is an activity. 'Internal' - this term is intended to make clear that this is an activity carried on by an organisation itself using its own personnel. Thus, the activity is distinguished from that which is carried out by external public accountants or outside consultants. 'Auditing' - this term suggests a variety of ideas. On the one hand, it can be viewed very narrowly as the mechanical checking of accounts for clerical accuracy and/or on the other hand as a thoughtful investigation and appraisal at the highest operational levels. Definitely this term is intended here to embrace the higher level meaning, even though the lower level activities may also be involved to a certain extent.