Objectivity - external auditor report, Auditing

Objectivity - External Auditor Report

Many accounting figures are subjective and contain substantial terms of subjective judgment.  Many more business transactions have financial effects which spread over many more years.  Therefore decisions are to be made, as to the extent to such spending incurred in one year can reasonably be expected to create benefits in other years in the form of revenue.  Therefore objectivity requires which accounts state externally verifiable changes than subjectively seems opinions.  Therefore the accounts must be free from bias, since the creator of the accounts should not permit personal preferences to enter into their accounts preparation work.  All activities are influenced through personal experience in practice and prejudice.  One important thing is for the auditor to be aware of this and for him to be aware of the tendency also to bias in the all financial reporting.

Posted Date: 1/24/2013 7:12:58 AM | Location : United States







Related Discussions:- Objectivity - external auditor report, Assignment Help, Ask Question on Objectivity - external auditor report, Get Answer, Expert's Help, Objectivity - external auditor report Discussions

Write discussion on Objectivity - external auditor report
Your posts are moderated
Related Questions
All of the following must certify that a public company's financial statements are accurate, complete, and not misleading, except for the Chief financial officer. Director of human

main areas contained in a private audit

YvesLaurent has just been put in charge of the BeautyNatural Inc. audit.BeautyNatural is a small, but growing retail chain of natural cosmetics stores. BeautyNatural needs to borro

Describe How does the internal audit differ from an external audit? Ans) Internal audit nothing but the checking the product that you formed. External audit is checking you

Checking consolidation papers The auditor pays particular attention to the calculation of: Goodwill arising on acquisition and consolidation Pre-acquisition and post-

Related Parties - Audit Evidence IAS 24 prescribes the disclosures essential to the possibility to draw attention which the financial position and loss or profit of an entity

Provide the data regarding all about auditing of Newspaper agencies

IAS 20 Accounting for Government Grants and Disclosures IAS 20 Accounting for government grants and disclosures of government assistance The auditor needs to verify the

Prepare a narrative describing the transaction cycle process for debt in a municipality.

Audit Procedures -Research and Development The auditor should ensure that: a) Any costs incurred in the buy of fixed assets in order to give facilities for development and