Auditing Services
Why perform an audit?
Audits provide assurance that financials statements are materially correct, and can be for the benefit of investors, government regulators and business owners. It is becoming more common that people seek certainty in the representations made to them in their business dealings, while government bodies also place degrees of reliance on the reports and financial statements presented to them by reporting entities.
The audit process is the means by which the auditor comes to a conclusion as to whether representations made in financial statements are true and fair, and whether they can be relied on by decision makers.
Who will rely on the financial statements and audit decision?
The decision makers that seek to rely on representations made include:
- banks and financial institutions
- shareholders
- potential purchasers
- creditors
- government agencies
- business owners
- club and association members
What entities require an audit?
The following entities are some of those that require regular auditing:
- public listed companies
- private enterprises and companies
- incorporated associations
- trust accounts held by professionals such as solicitors, accountants and real estate agents
- other un-incorporated clubs
- superannuation funds
- government bodies such as local councils
- reporting entities such as retirement homes
- community groups in receipt of government grants
What benefits can an audit provide?
By providing an audit opinion, various benefits can flow on to the entity and stakeholders, including:
- confirmation of the integrity of the representations made
- identification of system weaknesses
- discovery of fraudulent activity
- discovery of material over and understatement
- provide risk assessments of general or specific areas
- identify specific issues such as under insurance of assets
- Who can provide an audit service?
In many of the entities that require audits, decision makers rely on a certain level of professionalism in how and by whom an audit is conducted, and a number of larger clubs and organisations are now required to have their audit signed off by an authorised approved person or a Registered Company Auditor.
Carrick Ashmead have a number of professional and experienced staff who are authorised approved persons in addition to Ross Weier who has been a registered company auditor since 1983.
From 1st July 2005 a number of government changes and new standards came into effect and financial reports must be presented in accordance with these. Carrick Ashmead are able to help you implement the changes to ensure all records are presented correctly.
Do I need an audit?
- are you required to report to a government agency?
- are there any decision makers who will require independent verification of your representations?
- do you suspect that fraud or misappropriation occurs in your business?
- do you want your financial accounts to be free of material misstatement?
If you have answered yes to any of the above questions, or are unsure, contact Carrick Ashmead to discuss your requirements further.
