Statutory Audit

The purpose of the statutory audit is to determine whether an organization is providing a fair and accurate representation of its financial position by examining information such as bank balances, bookkeeping records and financial transactions. It relies on the internal audit reports, verification of financial information, documents and related stock validations. Scope and nature of audit programme are subject to the specifications of the governmental body and financial institutions. It involves scrutiny of all financial statements and accounts related to the organization to ensure their reliability and avoid any misrepresentation or discrepancies. The findings of a statutory audit are legal and binding and can lead to citation or fines or both. All registered business enterprises are mandated to undergo statutory audit for the preparation of accurate financial statements. Statutory audit plays a major role in efficiently managing the operations of the company.