Financial Audit
About Financial Audit
A
financial audit is an objective examination and evaluation of the
financial statements of an organization to make sure that the financial
records are a fair and accurate representation of the transactions they
claim to represent.
Financial auditing has these main objectives:
•
To evaluate whether the financial statements are materially correct,
complete, and reported in accordance with generally accepted accounting
principles (GAAP)
• To assess the possibility of fraud in the organization
• To gauge whether the organization will remain a viable business, also known as a going concern
• To identify ways that a company can improve its business
Why is Financial Audit important?
There are many benefits that a business entity can avail by conducting a financial audit, which are
• Maintains Consistency - By being compliant with the specified provisions, the Auditing process may take lesser time.
• Determine Profit or Loss
•
Helps in Obtaining Loans - As the financial books have been reviewed
and audited, they would project the right image of the business and thus
allow banks and other financial institutions to give out loans and
other financial help to the company.
• Assists in Determining the Total Tax
• Help in Fraud Detection
• Assists in Preparing Future Plans
• Provides Evidence
• Increases Goodwill
Who should take the Financial Audit Exam?
• Accounting or finance or audit professionals
• Business owners or Entrepreneurs
• Anyone who wants to assess their financial auditing skills
• Accounting or finance or audit managers and senior executives
• Audit consultants
• Professionals working in outsourced companies responsible for financial audit
• Anyone interested in auditing
• Students
Financial Audit Certification Course Outline
1. Basic Accounting Principles and Framework
2. The Accounting Equation and Financial Statements
3. The Accounting Cycle and Accrual Accounting
4. Accounting Transactions and Books of Account
5. Cash Flow Analysis
6. Auditing