One of the main factors that could cause audits to go over budgeted hours is poor engagement supervision. This typically means that there isn't adequate oversight or direction during the audit process, which can lead to inefficiencies, repeated tasks, or lengthy follow-ups that could have been avoided with better upfront supervision. In contrast, ineffective board reporting would not directly lead to extended audit hours, and untimely observation follow-up and closure, while problematic, usually occurs after the audit and does not directly impact the hours spent on the audit itself. Limited staff resources can affect the quality and speed of work but poor supervision is more directly related to the issue of audits exceeding budgeted hours.