only
construct
and show that a
t provides a sort of guidance to ens
s been properly distributed and nothing has bed
The work of audit can be done smoothly with uniformity and
can proceed well with the same set programme in subsequent
Before signing the report, it is easily possible for the auditor to
e final review of the work done by him. At this stage, it may be
ed whether everything has been completed or not.
Page ne
Anlever the following question
What do you
Exchlain, the difference
I between internal audil
and Interim audit.
Internal
mean
Answers
Answer:
Interim audit is a part of external audit where an auditor commences audit before the year end. This is to reduce work pressure at finalisation stage. So for a company having an year end in December, auditor may commence work in September to reduce work pressure at year end. Note that this is different from a half yearly review which would be a separate engagement.
Internal audit is carried out by the company itself. The internal audit department of the company carries out internal audit activities to ensure effective running of the company.
Internal audit and external audits are similar however there are some key differences. External audit is focused on the financial statements and whether there are any material misstatements thereon. Whereas, Internal audit is focused on the internal controls of the company and whether there are any deficiencies in the company’s internal control systems. External auditors also consider internal controls but its not their main focus.