Audits are an examination of records, systems, and policies and procedures to ensure accuracy and compliance with applicable laws and regulations in accordance with Generally Accepted Auditing Principles (GAAP). The audit scope(1) is generally determined by the auditing entity’s purpose and/or objectives. Audits can be an informative means of analyzing organizational effectiveness and efficiencies. They may also provide opportunities for improvement in organizational structure, development and growth.
(1) Audit Scope is defined as the amount of time and documents involved in an audit. The audit scope ultimately establishes how deeply an audit is performed.