The internal audit function of a manufacturing organization is conducting an advisory engagement.

In advisory engagements, internal audit may provide consulting support that enhances processes while maintaining objectivity. In this case, the most appropriate value-adding activity is to facilitate development of a checklist for documenting asset transfers. This addresses the identified gap directly and supports management in strengthening controls.

Option A identifies risks but does not resolve the gap. Option C (root cause analysis) is not as practical in this advisory setting. Option D (resource allocation) is a management responsibility, not internal audit’s role.