Discuss the importance of auditing as it relates to the accounting profession and the business community....

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Accounting

Discuss the importance of auditing as it relates tothe accounting profession and the business community. (2) Discussthe effects of technology as it relates to the future of theprofession.
please cite references. thanks
what information needed? It is simply what is theimportance of auditing as it relates to the profession and thebusiness community.

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1 The Importance of an Audit Auditing is a means of evaluating the effectiveness of a companys internal controls Maintaining an effective system of internal controls is vital for achieving a companys business objectives obtaining reliable financial reporting on its operations preventing fraud and misappropriation of its assets and minimizing its cost of capital Both internal and independent auditors contribute to a companys audit system in different but important ways 1 It helps in protecting the interest of persons who are not directly associated with an enterprise like partners shareholders creditors debtors etc 2 It helps at the time of taking government grants 3 It acts as a morale check on employees 4 It helps to settle trade disputes 5 Helps to settle accounts at the time of retirement or death of partners And also at the time of liquidation of any company 6 Helps to settle tax liability helps for making refunds of tax etc Further There is a long list of reasons why you should have regular audits but the most important ones involve accountability and good business practices 1 You Will Have a Detailed Overview Once the auditors have concluded their findings youll have the final report in your hands From here you will have a complete picture of how your business is working Even if you have spent a lot of time ensuring that your company has clean records and abides by every rule possible there are bound to be small mistakes that should be corrected See Answer

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