Difference Between Audit and Review

Difference Between Audit and Review

Some companies prefer using the term’review’ when they’re actually talking about an audit. And that’s because the term audit scares them to the bone. That’s not to say the two terms, audit and review, are one and the same. They can’t be used interchangeably.

Audit vs Review

Audit means a systematic examination of financial statements and accounting records to make sure there are no errors or chances of fraudulent activities

Can auditors prepare financial statements?

An audit is a process in which a certified public accountant examines the financial statements of a company

Level of Assurance

Lower for a review

Auditing is an examination of a business done by an auditor through on-site inspection to verify if the process or quality system is adhering to the standards and requirements

The primary audits are of three types:

What is an Audit?

An audit provides more reasonable assurance

What is an audit review report?

An audit is a detailed examination of the financial, operational, and compliance information of an organization.

What triggers tax audits?

When you earn a lot of money, consider it a tax audit trigger

What is a Review?

A review looks for potential accounting errors

Detailed Procedure

An audit has a detailed and preset procedure to follow, of which financial statements play a key role in determining the financial position of the underlying entity in all fairness

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