Explanation:

- Examination of the system of accounting and internal control:

Auditors review a company's accounting systems and internal controls to ensure they're effective and reliable.

- Preparation of books of accounts:

Auditing does not involve preparing or maintaining books of accounts. This task is typically done by the accounting team.

- Reporting to the appropriate person/ body:

Auditors provide an independent report on their findings to stakeholders like management or shareholders for transparency.

- Verification of the authenticity and validity of transactions:

Auditors check if transactions recorded are genuine and accurate.

Your answer is option:3 - Reporting to the appropriate person/ body . .

The correct answer is:

Option:2 - Preparation of books of accounts

This is not covered in an audit, as auditors will only review and provide opinions on existing records, not prepare them.