Audit

Sampling Risk refers to the possibility that the sample drawn is not representative of the population and that, as a result, the auditor will reach…

Solvency ratio is a key metric used to measure an enterprise’s ability to meet its debt and other obligations. The solvency ratio indicates whether a…

Vouching is a technical term which refers to the inspection by the auditor of documentary evidence supporting and substantiating a transaction. It is the act…

An Audit Note Book is a book which is maintained by the audit staff during the course of the audit, to note the errors, difficulties,…

Substance over form is an accounting principle used “to ensure that financial statements give a complete, relevant, and accurate picture of transactions and events”. If…

Clean Audit Report A “clean” audit report, indicating the auditor’s opinion that a client’s financial statements are fairly presented in accordance with agreed upon criteria…

Professional Ethics is defined as the personal and corporate rules that govern behavior within the context of a particular profession. Professional ethics are the professionally accepted…

Govt. Audit vs. Commercial Audit Government Audit: The government offices, departments, under-taking registered as companies, are also subject to independent financial audit. Usually, a statutory…

Continuous Audit An auditing process that examines accounting practices continuously throughout the year. Continuous audits are usually technology-driven and designed to automate error checking and…

Audit program is lists of audit procedures to be performed by audit staff in order to obtain sufficient appropriate evidence. It is an action plan…