Audit of Financial Statements
An audit is the highest level of financial statement service a CPA can provide. The purpose of having an audit is to provide financial statement users with an opinion by the auditor on whether the financial statements are prepared in accordance with the proper financial reporting framework. An audit enhances the degree of confidence that intended users, such as lenders or investors, can place in the financial statements.
Audits are a useful tool. Although audits are often required by a regulatory authority, the information obtained through the audit process can assist management in improving business operations as well as guide future decision making efforts.
Being audited is challenging enough for clients. A&C is committed to providing accurate and timely financial statement audits. To be sure, quality and accuracy are essential; A&C are conscientious about completing the audit efficiently.
A&C adapts the audit to our client’s industry, environment and risk, enabling us to identify the essential issues. Its commitment to continuing education, keen knowledge help in providing the best quality possible, specializing in the particular circumstances of each industry. Independence is vital to all audits, A&C adheres to the strictest quality control standards. This ensures that its independence and judgment are never compromised.
In an audit, A&C auditors obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, and whether the misstatements are from error or fraud.
To obtain reasonable assurance, items are observed, tested, confirmed, compared or traced based on the auditor’s judgment of their materiality and risk. After gathering appropriate evidence through this process, the auditor issues an opinion about whether the financial statements are free from material misstatement.
As an additional benefit, the auditor may become aware of some deficiencies in internal control or weaknesses in the organization’s systems and offer suggestions for improvement.