Difference between internal audit and external audit, Auditing

Assignment Help:

Explain The Difference Between Internal Audit And External Audit?       

Ans) The internal audit is performed to help the management. The weakness of the management is disclosed. The external audit is performed to help the shareholder. The rights of owners are protected. The meeting of internal audit is made by the management. The meeting in external audit is made by the shareholders. Internal audit is the part of internal control.

External audit is the not the part of internal control. The internal audit can suggest improvement in internal check system. The external audit cannot suggest improvement in internal check system. The internal audit can do his duties under the terms of appointment. The management can limit the scope of work at any time. The external auditor can perform his work to terms of appointment and other prescribed law. The scope is very wide. Internal audit is an employee of the company. He is not an independent person. External auditor is not an employee of the company.

 


Related Discussions:- Difference between internal audit and external audit

Audit of partnerships, Audit of Partnerships The audit of a partnership...

Audit of Partnerships The audit of a partnership is not normally required by statute and so the auditor must agree with the client what his rights and duties are going to be. T

Amounts derived from financial statements, Amounts Derived From Financial S...

Amounts Derived From Financial Statements Please note here the auditor is interested in preceding year's evidence since 1. The Companies Act states such corresponding amounts

Co-operative societies, Co-operative Societies An audit in this case is...

Co-operative Societies An audit in this case is carried out as a normal audit except you should note that the auditor is appointed by the Commissioner of Co-operatives and alth

Risk of material misstatement, For each of the following situations, descri...

For each of the following situations, describe how risk of material misstatement should be assessed and what effect the assessment will have on detection risk. (i) Johnson is a

Verification, discuss the verification procedure of current assets and long...

discuss the verification procedure of current assets and long term liabilties

A disadvantage of the corporate form of organization, Q. Which of the follo...

Q. Which of the following statements is not considered a disadvantage of the corporate form of organization? a. Additional taxes b. Government regulations c. Limited liability of s

Online exam, online exam in Auditing class. the exam will be about 2 hr. ...

online exam in Auditing class. the exam will be about 2 hr. Thank you

Communications to regulatory and enforcement authorities, Communications to...

Communications to Regulatory and Enforcement Authorities The auditor’s professional responsibility to sustain the confidentiality of client information ordinarily prevents repo

Objectivity - external auditor report, Objectivity - External Auditor Repor...

Objectivity - External Auditor Report Many accounting figures are subjective and contain substantial terms of subjective judgment.  Many more business transactions have financ

#titl Assessment Criteria Sheets Risk analysis report Sue.., Assessment Cr...

Assessment Criteria Sheets Risk analysis report Subject Learning Outcome: To examine techniques used by auditors, including risk analysis, evidence collection and evaluation Below

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd