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Introduction to auditing
Auditing
What is the difference between scope and aspects of auditing?
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scope is the breadth, depth or reach of the whole auditing or a domain while aspect is the way something appears when viewed from a certain direction or perspective. The scope of Audit means the depth of an audit performed. Generally, auditors used to check cash transactions if there were suspected frauds. But in recent years, the scope of audit has increased. Nowadays auditing is related to the examination of books of account, evidence, bills, stock, and its physical verification, etc. Nowadays, it is not possible to go through the books of account. So, an auditor applies the test check. But such a test is possible in such an organization where an effective internal check system is applied. An auditor should analyze the suspected frauds so as to find out the fact but an auditor should depend on the information provided by the concerned officer. Aspects of audit are viewed only when we find the scope of auditing. Aspects are finalized when we know the scope on what to do and the angles to look onto for vouching the Financials 1] Review of all Systems. 2] Review of the Internal Controls. 3] Arithmetical Accuracy. 4] Accounting Principles. 5] Verification of Assets. 6] Verification of Liabilities. 7] Vouching.
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