Auditing is the process of checking the financial statements along with other accounting information of a business entity. It is a systematic procedure where the economic condition of the entity is analyzed. The person taking up the responsibility of the process is called an Auditor. Auditing is an important process for the company, the investors, the government, creditors, shareholders, etc. They very much rely on the audit reports to make important business decisions. The major advantage of auditing is that it gives assurance to the owners, investors, etc. about the accuracy of their financial statements. The major disadvantages of auditing involves a deep examination of records, it ends up in extra cost to the company. Also the rules and regulations of business vary from time to time, it affects the result of the audit.

Gokul JL

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