Audit is a kind of financial scrutiny that is carried out by the well trained and experienced personnel who help the clients in determining that what is going wrong with their financial activities. It also determines as to what extent the different members of the organization are involved in the different kinds of financial losses and drawbacks. It is the SMSF auditors Adelaide that determines the responsibility of the people working with them. The audit also checks if the task is being done in the proper manner or not.
The key types of audit are as follows:
- External Audit
- Internal Audit
- Forensic Audit
- Public Sector Audit
- Tax Audit
- Information System Audit
- Environmental & Social Audit
- Compliance Audit
- Value For Money Audit
External audit as the name indicates uses the services of the external auditor to find out about the financial working of the organization. The auditor here in this case is not directly associated with the organization but come from external sources. The other names for this kind of audit are financial audit and statutory audit. This audit is considered reliable and trustworthy. As the auditors are mainly from external services therefore the results are found to be unbiased and transparent unlike other forms of the audit. If you are interested about financial statement auditors you can visit this website https://nationalaudits.net.au/financial-statement-auditors.
Internal audit is done by the integral teams as a voluntary task. Each of the team members is from within the organization. Usually it is the board of governors that selects the auditors for this purpose. They nominate the professionals on the basis of their experience, trust and reliability. After the audit is over the auditors have to respond to the board of the directors. On one hand these audits are criticized for having prejudice but at the same time they are appreciated for being easy and economical too.
It is an extensive type of auditing that uses the investigational techniques to analyze the financial status and performance of the organization or the company. It is usually meant for investigating about the frauds and other similar happenings. The forensic audit is an essential tool used in the insurance agencies as well. The legal matters are also resolved in the matters related to the profit sharing through the forensic audit.
These audits are meant for determining the real picture regarding the tax returns. Hence, it becomes easy to determine the tax violation by different agencies or individuals.
These are the common forms of the audits that are used to calculate the financial losses and determine the financial health of an organization.