Company audit process

Company audit process:

1. Understand the operating conditions and audit risks of the audited entity;

2. The audit parties sign a formal audit entrustment agreement;

3, accounting firms to develop specific audit work plan. At this stage, the accounting firm will make pre-action arrangements for the audit objectives, content priorities and safeguard measures according to laws and regulations and the actual operation of the audited entity, and on this basis, formulate specific audit work development plans;

4. Implementation of specific audit work;

5. Issue an audit report.

Second, analyze the details

Audit process refers to the actions and steps taken by auditors in the specific audit process. Generally speaking, the generalized audit process can be divided into three stages: pre-audit, audit implementation and audit conclusion, and each stage includes many specific contents. In a narrow sense, the audit process refers to the steps and methods taken by auditors in the process of obtaining audit evidence and completing audit objectives. The audit process should greatly reduce the workload of obtaining audit evidence in the audit work, thus saving manpower time and reducing costs. In addition, it can avoid mistakes and ensure the quality of audit work. But it relies too much on the audit of internal control.

Third, which companies need to conduct company audits?

In fact, there are two main types of enterprises that need to be audited. Enterprises that need to make tax audit reports and enterprises that need to make audit reports. Among them, enterprises that need to issue tax audit reports include: general taxpayer enterprises, tax problem enterprises and loss-making enterprises. Enterprises that need to issue audit reports include one-person limited liability companies, foreign-funded enterprises, listed companies, enterprises with long-term liabilities or losses, and companies in finance, securities, futures, insurance, venture capital, real estate brokerage and other industries.