Who examines financial reports for compliance with established standards?

The correct choice is the internal auditor. Internal auditors play a crucial role in examining the financial reports of an organization to ensure they comply with established standards and regulations. They assess the effectiveness of internal controls, evaluate the accuracy of financial records, and confirm that the organization is adhering to relevant laws and guidelines. Their work helps to identify any discrepancies or areas of concern before external audits occur, providing an additional layer of assurance that financial statements are reliable and compliant.

The division controller, while responsible for the accuracy of financial information within their division, typically focuses on financial reporting at a departmental level rather than examining compliance across the entire organization. The SEC examiner's role is to enforce securities laws and regulations at a broader federal level, focusing primarily on public companies rather than conducting internal compliance checks. The board of directors is responsible for overseeing the company's management and ensuring that stakeholders' interests are protected, but they do not typically perform the detailed examinations of financial reports. Instead, they rely on the findings of internal and external auditors to make informed decisions.