Auditing case study 3000 words

Auditing case study can be analyzed in the following ways:

1. Taxation

Auditing reflects the process of paying taxes in a company. The tax structure is properly organized in the audit where the accounts attract investors and businessmen to pay taxes in a significant way.

2. Increased efficiency

Audit improves the efficiency of the organization as well as the employees. Auditing practices also improve the skills of the employees. Thus, due to the accuracy of the auditing principles, it brings in more trained and qualified employees in the organization which facilitates policy making and other decisions.　　

3. Long-term planning

Audit brings efficiency to the entire business practice and it provides a fair view of business activities. Audit records can be used for long term planning and it also helps in budgeting for the future. Audit is also useful in preparing projected financial statements for long term planning of the business.

4. Strengthening Internal Controls

Auditors provide great support to the efficiency of internal controls in an organization. The auditor suggests areas for improvement and management and is responsible for overcoming weaknesses identified by the auditor. The better the internal controls, the more effective the organization will be.

5. Partner satisfaction

Audits are also very important from a partner's perspective. An audited record satisfies partners and ensures that they are investing in the right company and will receive a fair share of the revenue earned by the company.

6. Difference between internal and external audits

There are two types of audits, internal and external.

Internal auditing is basically an independent consulting activity designed to add value to a company's operations. It also helps in achieving the objectives of the organization by adopting a disciplined and systematic approach to assess and improve risk effectiveness and control the governance process.