“The importance of

audit for big corporate

houses”
Definition
Audit is an Latin word which means to
hear.
Meaning of audit is official
examination of the accounts.
Audit is defined as, “it is a process to
analyze and evaluate something.”
What is audit?
 Systematic , independent and documented
process for obtaining audit evidence and
evaluating it objectively to determine the extent
to which the audit criteria are fulfilled. It is done
to ascertain the accuracy of financial statements
provided by the organization.
The purpose of an audit
 Toexpress an opinion of the person /
organization / system / in question, under
evaluation based on work done on a test
basis.
Introduction
 Audit involves the verification of reports under the laws
in order to determine whether liabilities and financial
statements are accurate, correct and complete.

 Effective audit depends on the accuracy and quality of

the reports. Internal auditors are those who work within
the organization and they report to the directors or
committee.