Get In Audit & Information

Definition: Audit is the examination or inspection of various books of accounts by an auditor followed by physical checking of inventory to make sure that all departments are following documented system of recording transactions. It is done to ascertain the accuracy of financial statements provided by the organisation.

checking that financial reports and records are accurate and reliable. ensuring that assets are protected. identifying if and where processes are not working as they should and advising on changes to be made. preparing reports, commentaries and financial statements.

Steps often include conducting interviews, reviewing laws, policies and best practice, verifying sample transactions, analyzing data sets, and conducting surveys. Auditors meet regularly with management throughout fieldwork and discuss the status of the audit, preliminary observations, and potential recommendations.

An audit is the review or inspection of a company or individual's accounts by an independent body. Auditors may be hired internally by the company or work for an external third-party firm. Almost all companies receive a yearly audit of their financial statements.

During an audit, different financial statements are examined, such as the income statement, cash flow statement, and balance sheet. The audit provides stakeholders and regulatory agencies with information on how money is earned and spent throughout the fiscal year.

During the Audit It will involve speaking to key members of staff and reviewing documentation to understand the systems and processes we are auditing. It will typically involve sample checking how systems and processes work in practice and using data analytics to identify areas which require further investigation.

Process audit: This type of audit verifies that processes are working within established limits. It evaluates an operation or method against predetermined instructions or standards to measure conformance to these standards and the effectiveness of the instructions.