EXTERNAL AUDIT, DEVELOPMENT AND CONTRIBUTION IN AN ORGANIZATIONS
Audit is a professional job that is considers the most prestigious in the business world. Audit is the appraisal of a corporation, process, system, product, project, and company. Auditors are the supervisory body that observes the managerial activities of an organization. Auditors are independent body, the independence segregate the auditors from those bodies or persons who have interest in the audited company. The duty of auditor is to scrutinize the accounts and final statements of a company and give reasonable declaration that all accounts of a company were maintained fair and free from any ambiguous data. The auditor also gives declaration that all accounts were maintained as per accounting standards.
It is to determine the strength and trustworthiness of the information given in financial statement of an organization and also give an evaluation of a system internal management. The objective of the audit is not fulfilled if the users of the financial statements feel that the auditors were under the influence of the organization. The audit has some practical constraints and can also provide assurance that the financial facts are mentioned in report as per given guidance. Audit is an essential part of accounting. The approach of audit was up to the collecting information regarding financial system and financial data of an organization.
Now the scope of the audit has been extended to further categories as security risk, information system performance and environmental performance. A company gets analogous services from internal and external auditors. The auditors give assurance to administration that all necessities are met and business is running efficiently. The independent opinion of the auditors satisfies and motivates the investors to keep relation with business in future.
External auditors are those professionals who perform on behalf of audit firms. The auditors are assigned...