B Com Exam > B Com Notes > Auditing and Secretarial Practice > Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice
Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice | Auditing and Secretarial Practice - B Com PDF Download
Auditing Vs Investigation:
Investigation is an enquiry into the accounts and records of a business concern for a special purpose, say, to know the actual financial position of the concern or to know the real earning capacity of the business or to know the extent of fraud, if any. There are many differences between the two. They are:
| Points of difference | Auditing | Investigation |
| 1. Objects | The object is to find out whether balance sheet and profit and loss account exhibit a true and fair view of business. | It is undertaken to know the essential facts about a matter under inquiry. It is done with some special purpose of view. |
| 2. Period | It usually covers one accounting year. | It may cover more than one accounting year. |
| 3. Conducted | It is conducted for proprietors only. | It is carried out on behalf of any party interested in the matter. |
| 4. Scope | It is restricted to balance sheet and profit and loss account. | It is wider in scope. It may be carried out beyond balance sheet. |
| 5. Compulsion | Audit is legally compulsory for companies. | It is voluntary. It is required under certain circumstances. |
| 6. Time | It may be conducted at the end of the year. | It may be conducted at any time in case of suspicion about any transaction. |
| 7. Report | Form of report is prescribed. It is presented to the shareholders. | Form of report is not prescribed. It is presented to the client. |
| 8.Appointment | Owners appoint the auditors. | Even third party can appoint an investigator. |
| 9.qualifications | The statutory auditors must possess proper qualifications. | Even an employee preferably a chartered accountant may be appointed as investigator. |
| 10. rework | Re - audit is not generally undertaken. | Re - investigation may be undertaken. |
The document Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice | Auditing and Secretarial Practice - B Com is a part of the B Com Course Auditing and Secretarial Practice.
All you need of B Com at this link: B Com
|
55 videos|53 docs|24 tests
|
FAQs on Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice - Auditing and Secretarial Practice - B Com
| 1. What is the difference between auditing and investigation? |  |
Ans. Auditing and investigation are two different concepts in the field of accounting. Auditing is a systematic process of examining financial records and statements to ensure accuracy and compliance with laws and regulations. It focuses on evaluating the internal controls and financial statements of an organization. On the other hand, investigation refers to the process of conducting a detailed examination or inquiry into a specific issue or problem, such as fraud, embezzlement, or financial misconduct. While auditing is a routine procedure, investigations are usually initiated to address suspected irregularities or discrepancies.
| 2. What are the key concepts of auditing? | |
Ans. Auditing involves several key concepts that are essential for its effective implementation. These concepts include independence, objectivity, materiality, risk assessment, and evidence. Independence refers to the auditor's ability to maintain an unbiased and impartial approach while conducting the audit. Objectivity ensures that the auditor's judgments and decisions are based on facts and evidence rather than personal biases. Materiality refers to the significance of an item or information in relation to the overall financial statements. Risk assessment involves identifying and assessing the risk factors that might affect the financial statements. Lastly, evidence refers to the information gathered and evaluated by the auditor to support their findings and conclusions.
| 3. How does auditing relate to secretarial practice? | |
Ans. Auditing and secretarial practice are closely related in the corporate world. Secretarial practice refers to the administrative and compliance functions performed by a company secretary, such as maintaining statutory records, ensuring compliance with laws and regulations, and organizing board meetings. Auditing, on the other hand, involves the examination and evaluation of financial records and statements to ensure accuracy and compliance. In the context of secretarial practice, auditing plays a crucial role in ensuring the reliability and integrity of the financial information presented to the board of directors and shareholders. It helps in verifying the compliance of secretarial practices with legal requirements and provides assurance to stakeholders regarding the company's financial health.
| 4. What are the main responsibilities of an auditor during an audit? | |
Ans. The main responsibilities of an auditor during an audit include planning and conducting the audit, assessing risks and internal controls, gathering and evaluating evidence, and reporting the findings. During the planning phase, the auditor identifies the scope and objectives of the audit, and develops an audit plan. In the conduct phase, the auditor performs various audit procedures, such as examining financial records, conducting interviews, and testing internal controls. Risk assessment involves identifying and assessing the risk factors that might affect the financial statements. Gathering and evaluating evidence involves collecting relevant information and evaluating its reliability and relevance to the audit objectives. Finally, the auditor prepares an audit report summarizing the findings, conclusions, and recommendations based on the audit procedures performed.
| 5. How does an investigation differ from an audit? | |
Ans. An investigation differs from an audit in several ways. While an audit is a routine process conducted periodically to evaluate the accuracy and compliance of financial records, an investigation is usually initiated to address specific issues or suspected irregularities, such as fraud, embezzlement, or financial misconduct. Audits are generally conducted by internal or external auditors, while investigations may involve specialized forensic accountants or investigators. Audits focus on evaluating the internal controls and financial statements of an organization, whereas investigations involve a detailed examination or inquiry into specific issues or problems. Additionally, audits aim to provide assurance to stakeholders, while investigations aim to uncover and address potential wrongdoing or misconduct.
Related Exams
About this Document
|
4.70/5 Rating |
|
Nov 23, 2024 Last updated |
Document Description: Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice for B Com 2024 is part of Auditing and Secretarial Practice preparation.
The notes and questions for Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice have been prepared according to the B Com exam syllabus. Information about Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice covers topics
like and Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice Example, for B Com 2024 Exam. Find important definitions, questions, notes, meanings, examples, exercises and tests below for Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice.
Introduction of Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice in English is available as part of our Auditing and Secretarial Practice
for B Com & Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice in Hindi for Auditing and Secretarial Practice course.
Download more important topics related with notes, lectures and mock test series for B Com
Exam by signing up for free. B Com: Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice | Auditing and Secretarial Practice - B Com
Description
Full syllabus notes, lecture & questions for Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice | Auditing and Secretarial Practice - B Com - B Com | Plus excerises question with solution to help you revise complete syllabus for Auditing and Secretarial Practice | Best notes, free PDF download
Information about Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice
In this doc you can find the meaning of Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice defined & explained in the simplest way possible. Besides explaining types of
Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice theory, EduRev gives you an ample number of questions to practice Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice tests, examples and also practice B Com
tests
|
Explore Courses for B Com exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
Related Searches
Extra Questions
,practice quizzes
,shortcuts and tricks
,mock tests for examination
,Auditing & Secretarial Practice | Auditing and Secretarial Practice - B Com
,Sample Paper
,Auditing & Secretarial Practice | Auditing and Secretarial Practice - B Com
,study material
,MCQs
,Previous Year Questions with Solutions
,Semester Notes
,Auditing & Secretarial Practice | Auditing and Secretarial Practice - B Com
,ppt
,Exam
,Auditing vs Investigation - Auditing Concepts
,Auditing vs Investigation - Auditing Concepts
,Summary
,Auditing vs Investigation - Auditing Concepts
,Objective type Questions
,Important questions
,past year papers
,Viva Questions
,video lectures
,Free
;
Additional Information about Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice for B Com Preparation
Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice Free PDF Download
The Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice is an invaluable resource that delves deep into the core of the B Com exam.
These study notes are curated by experts and cover all the essential topics and concepts, making your preparation more efficient and effective.
With the help of these notes, you can grasp complex subjects quickly, revise important points easily,
and reinforce your understanding of key concepts. The study notes are presented in a concise and easy-to-understand manner,
allowing you to optimize your learning process. Whether you're looking for best-recommended books, sample papers, study material,
or toppers' notes, this PDF has got you covered. Download the Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice now and kickstart your journey towards success in the B Com exam.
Importance of Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice
The importance of Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice cannot be overstated, especially for B Com aspirants.
This document holds the key to success in the B Com exam.
It offers a detailed understanding of the concept, providing invaluable insights into the topic.
By knowing the concepts well in advance, students can plan their preparation effectively.
Utilize this indispensable guide for a well-rounded preparation and achieve your desired results.
Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice Notes
Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice Notes offer in-depth insights into the specific topic to help you master it with ease.
This comprehensive document covers all aspects related to Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice.
It includes detailed information about the exam syllabus, recommended books, and study materials for a well-rounded preparation.
Practice papers and question papers enable you to assess your progress effectively.
Additionally, the paper analysis provides valuable tips for tackling the exam strategically.
Access to Toppers' notes gives you an edge in understanding complex concepts.
Whether you're a beginner or aiming for advanced proficiency, Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice Notes on EduRev are your ultimate resource for success.
Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice B Com Questions
The "Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice B Com Questions" guide is a valuable resource for all aspiring students preparing for the
B Com exam. It focuses on providing a wide range of practice questions to help students gauge
their understanding of the exam topics. These questions cover the entire syllabus, ensuring comprehensive preparation.
The guide includes previous years' question papers for students to familiarize themselves with the exam's format and difficulty level.
Additionally, it offers subject-specific question banks, allowing students to focus on weak areas and improve their performance.
Study Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice on the App
Students of B Com can study Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice,
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Auditing vs Investigation - Auditing Concepts, Auditing & Secretarial Practice is prepared as per the latest B Com syllabus.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup