What Is Auditing
Auditing is a process of confirming and providing assurance services that the process of recording, collecting and valuing financial transactions adheres to standard of rules and regulations. It helps in finding whether the financial statements of the said company are accurate and free from deceit.
Why Auditing Is Important
Discovering frauds or errors
Since a company audit involves a detailed verification of records of accounting, it helps immensely to find frauds and errors and promotes a check on working of employees through which their efficiency can be checked. Not just that, an audit can help in motivating the employees to maintain their efficiency which helps in improving performance. It these audits that help in identifying manipulation of records.
Effective Tool for A Business Management
An audit can prove to be an effective tool for business management since it is conducted to ensure that the policies are being followed and rules are being adhered to. This also paves a way for unique ideas for improvement and to formulate the future policies of an organisation. It is also helpful for the management to review the policies on timely basis.
Gain Confidence in Investors and Shareholders
Investors and shareholders have a high stake in your company, even if they do not get involved in day to day running of your business. Audit is a great way to gain the confidence of these stakeholders. Since the audited statements are useful enough, the stakeholders can decide whether they want to invest in your company or not.
If you are looking for accounting and audit services in Delhi, then you must evaluate the firm not just on its name but also experience in the relevant industry. Do not forget, an audit is a long term process can often take weeks or months as per the complexity and size of your business operations. After the company has completed audits, they will prepare a report. You can find income tax consultants in Janakpuri to help you with efficient audits. These companies can also help you with many other services like GST return filing in India.
Source:https://www.prlog.org/12775677-importance-of-an-independent-company-audit.html
