How The Corporate Audit Can Benefit Any Large Corporation

Corporate audit procedures can be carried out by external accounting firms, or by people within the company itself. Everything depends on what the objective of the audit is. Most audits are carried out by accounting firms, because at least part of the purpose is to establish credibility with the outside world. This is usually for the purpose of raising finance, but it can simply be to keep the share price high and to retain confidence in the organization. The other type of audit carried out by corporations is the internal audit, which is solely for the benefit of the managers.

The audit created by corporations as part of their marketing campaigns has its roots in a totally different place. Public audits were the first to be instigated, in order to prove to taxpayers and subjects that their money was being well spent. When the commercial sector began to grow rapidly in the industrial age, companies used auditing to prove to potential shareholders that they were worth investing in. As company structures became more complex, so did the auditing systems which were needed to evaluate them.

The increasing complexity of the company audit has meant that there are more places to hide the truth, and to create false accounting. Auditing and accountancy firms are needing to be ever more vigilant, now that real world events have shown them the consequences of failing to see what they should have noticed. There have been many scandals of companies falsifying their financial position and pulling the wool over the eyes of accounting firms, but the Enron scandal is by far the most grievous. One of the largest accounting firms in the world lost their license to audit as a result.

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The external audit carried out by accounting firms remains the most common audit, and these are usually funded by the company being audited. This can create a conflict of interest in itself, but the fate of accounting firms who have failed to spot anomalies will certainly deter any from deliberately covering up for a contracting company. The largest names in the industry have a habit of taking virtually all of the business, because clients know that having an established name on the audit is essential.

The corporate audit which is carried out internally is also becoming increasingly important. Complex structures make it harder for a manager to keep track of what is happening throughout the organization. A financial audit can help to highlight areas where expenses can be reduced while achieving the same results, and where it may be possible to realize greater gains from the assets created. A process audit can help to define areas where objectives may be more easily achieved. Both of these audits can be combined and carried out together, as part of one general corporate audit.

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Fixing street cut repair program to take time - Austin Monitor

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Austin Water agrees with that number. Troxclair is chair of the Council Audit & Finance Committee, which accepted the audit and heard a report from auditors and city staff on Wednesday. Troxclair said, quoting an unnamed person, EURśWe're so proud of all .

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NSW agencies struggle with security basics - Infosurhoy

Infosurhoy

NSW agencies struggle with security basics
Infosurhoy
Lack of privileged account monitoring, incomplete inventories of IT assets, and lack of a consistent cyber definitions leave NSW government agencies in the lurch. nsw-privileged-access-weaknesses-2017.png. For those with an interest in information .

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NSW agencies struggle with security basics - ZDNet

ZDNet

NSW agencies struggle with security basics
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(Image: Audit Office of NSW). For those with an interest in information security, who would like a sobering read to take the edge off the holiday cheer, the Report on Internal Controls and Governance 2017 from the Audit Office of New South Wales fits .

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Cogta to aid poor performing municipalities - IMIESA

IMIESA

Cogta to aid poor performing municipalities
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The Department of Cooperative Governance and Traditional Affairs (Cogta) is providing support to municipalities that were flagged as having performed poorly in the Auditor General's latest report. According to Cogta Minister Des Van Rooyen the .

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Mumbai Safety Audit: Several stations in need of desperate up-gradation - Mid-Day

Mid-Day

Mumbai Safety Audit: Several stations in need of desperate up-gradation
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mid-day concludes its station audit with one key observation EUR” though several stations have been upgraded, that hasn't helped. The basics are off, and that's where rlys needs to begin . but managing to come out unscathed from the melee outside the .

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Audit: Nashville General plagued by financial mismanagement despite progress - The Tennessean

The Tennessean

Audit: Nashville General plagued by financial mismanagement despite progress
The Tennessean
Basic bookkeeping remains a problem at Nashville General Hospital, auditors determined in the latest financial review of the cash-strapped hospital that serves the city's low-income, uninsured residents. The audit, released Wednesday, found hospital .

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