Audit risk is a type of risk that applies to any company. The purpose of an audit is to provide assurance that the financial statements are free from material misstatement, whether due to fraud or error. It doesn’t matter if you’re trying to get a loan, raise capital for your business, sell shares to investors, […]
An audit is an examination of a company’s financial statements by an independent accountant. The purpose of the audit is to express an opinion on the fairness of the statements in accordance with generally accepted accounting principles (GAAP) and to provide assurance to creditors, investors, and others that the statements are free of material misstatements.
The Environmental Protection Agency (EPA) was created in 1970 by President Richard Nixon and Congress. The EPA is a federal agency of the U.S. government with the mission to protect human health and safeguard the natural environment—air, water, and land—upon which life depends. An environmental audit is an examination of a company’s policies and practices
The compliance department is a separate body of sorts that ensures that the company abides by all laws and regulations enacted by either federal or state governments. They are also in charge of investigating any violations, which they then report to the appropriate authorities for further action to be taken. Compliance departments are an important
Every company, large and small, will need the services of an auditor at some point. There are many different types of audit available but the most common is the internal audit. This type of review can be defined as follows: “An internal audit is an independent appraisal or examination designed to evaluate and improve the
The Treadway Commission was established in 1985 to provide guidance on the prevention of fraud or abuse of public trust by public officials, non-profit organizations, for-profit organizations, and others who are charged with upholding the law. This commission has impacted many aspects of our society, including corporate governance practices. One way that this commission will
Every year, the federal government conducts hundreds of audits of agencies to make sure they are in compliance with FISMA. The audit is a process to review an organization’s compliance with the Federal Information Security Management Act. An audit assesses the policies, procedures, and overall effectiveness of information security management practices at an organization. The
The IIA (Institute of Internal Auditors) is a professional association that provides education and training for internal auditing professionals while promoting the value of internal audits to organizations. Its mission is “to lead the profession through its standards, certification programs, resources, and services that promote competence, integrity, and professionalism.” After all, audit quality is the
The Center for Audit Quality (CAQ) is an organization that promotes and improves quality in the audit profession. The CAQ’s goal is to be a leader in quality assurance and standard setting for auditors throughout the world. To do this, they establish standards, enhance knowledge, and advance ethics to make sure that audits are conducted
The ISO 27001 certification process is a set of standards that help organizations protect their data from being hacked. You can use it to help you reach your IT security goals! If you have an IT security goal, the ISO 27001 certification process is one of the best ways to achieve it. Many companies invest