What can be a source of information for auditors independent of the audited entity?

Regulators' websites for applicable regulations serve as a vital source of information for auditors that is independent of the audited entity. These websites provide access to current laws, standards, and regulations that govern the industry and the specific operations of the entity being audited. This information is crucial for auditors as it informs their evaluation of compliance and risk assessment processes. By consulting these external resources, auditors can ensure they are aligned with regulatory expectations and trends that may affect the audit, thereby enhancing the effectiveness and credibility of their work.

In contrast, the other options, such as financial statements of the organization, internal memos from management, and previous audit reports from the same entity, originate directly from the entity being audited. While these documents are essential for understanding the entity's operations and financial condition, they do not provide an independent perspective. Relying solely on information developed from within the organization can lead to biases and limits the auditor's ability to assess the entity's compliance with external regulations. Thus, seeking independent information from regulators helps establish a more objective framework for the audit process.