Audit

Definition: Internal Control system is the arrangement of controls by the enterprise in the interest of the business of the organization in an organized and productive manner. It ensures obedience to management policies, protect assets and ensure the integrity and efficiency of the records as far as possible. The specific components or elements of an Internal control system … [Read more...] about Internal Control

Definition: HR Audit or Human Resource Audit is a process of examining the efficiency of the human resource divisions of the company to help them in assessing their current position. It is very much similar to the financial audit procedure. To understand its HR policies, the company does the human resource audit so that a clear picture of its practices comes out, which helps … [Read more...] about HR Audit

Definition: Valuation of Assets or asset valuation is a process of determining the present market value of the assets of the business as shown in the balance sheet of the company based on universally accepted accounting principles. It’s a duty of an auditor to make an appropriate asset valuation along with the verification of such assets, and such valuation is done based on its … [Read more...] about Valuation of Assets

Definition: Company Auditor is an individual appointed for preparing an independent audit report of the company. They can be either appointed by the company’s Board of Directors, Shareholders, Central Government or Comptroller and Auditor General of India (C&AG) accordingly. An individual must have expert knowledge and a practising certificate from the Indian Institute of … [Read more...] about Company Auditor

Definition: Bank audit is a procedure performed by an auditor appointed by RBI and ICAI to verify the financial statements of the banking institutions and to verify whether the banking concerns are following the law and compliances or regulatory framework applicable on them or not. Content: Bank Audit Regulatory framework Procedure of Bank Audit Types of Bank … [Read more...] about Bank Audit

Definition: Audit Report is the final report prepared and signed by an auditor of the company in which the auditor expresses his opinion concerning the fairness and reliability of the financial statements, and the auditor should prepare the audit report by keeping his client in a mind that he/she will read a report so the report should cover all relevant facts and the auditor's … [Read more...] about Audit Report

Definition: Marketing Audit is an overall analysis of a company’s marketing strategies and objectives in a systematic manner so as to find out the problematic areas and opportunities and urging a plan to improvise the company’s marketing performance. It is essential as it analyzes the external and internal situations. It is also going to analyze the past performance and the … [Read more...] about Marketing Audit

Definition: As per (SA-500), audit evidence mentions the data or facts based on which the auditor reaches a conclusion whether the financial statement of the company displaying the true and fair value or not, during which the auditor discovers various affirmations of the administration to express his point of view on these affirmations. The auditor needs to evaluate such so … [Read more...] about Audit Evidence

Reserves are the portion of the earning of the business which the company retains to meet any forthcoming emergencies or contingencies. In contrast, provisions are the charge against income and are treated as expenses and entered into a profit and loss account. Reserves lists beneath “reserves and surplus” head whether they are capital reserves or revenue … [Read more...] about Reserves Vs Provisions

Definition: Auditing is the procedure in which a qualified individual examines the books of accounts and assemble the evidence to form an assessment and convey their point of view to the  responsible person or the management by submitting the audit report at the end of the financial year. The term “Audit” is borrowed from the Latin word “Audire”, i.e. to hear. In ancient … [Read more...] about Auditing