BUS-A 100 Lecture Notes - Lecture 6: Internal Control, Chief Executive Officer, Whistleblower
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BUS-A 100 Full Course Notes
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Document Summary
One of the most common services provided by certified public accountants (cpa"s) is the audit. In general, to audit means to conduct a thorough assessment. In accounting, to audit an entity means to thoroughly examine the bookkeeping records, financial accounts, and the policies and procedures of that entity. Entity could be a partnership, corporation, trust, or governmental unit. Audited financial statements are the accepted manner in which companies report the status of their operations to interested parties outside the company. Preparation of the financial statements is the responsibility of the company being audited. It is the auditors" job to express an opinion on the statements management has prepared. Any company whose stock is traded on a public exchange is required by the securities & exchange commission (sec) to have an annual audit. Other companies may also want or need an audit, possibly because of requirements of bankers or others who have invested in the company.
