An organization accomplishes its goal to obtain a 40 percent share of the domestic market,...

Effectiveness means achieving stated objectives. Efficiency means achieving results with optimal use of resources. The organization achieved its market share goal, so it was effective in reaching that objective. However, it failed to achieve the desired return on investment and output per labor hour, both of which indicate poor efficiency or resource productivity. Option A and B incorrectly frame the issue as a choice between capital investment and marketing. Option C is incorrect because the organization is not demonstrating efficiency; the poor output per labor hour shows the opposite. Internal audit should distinguish effectiveness from efficiency when evaluating performance. A process can achieve its goal while still using too many resources or generating weak returns. Therefore, Option D is correct.