What is Auditing?
Auditing is the independent forensic examination of a company’s or organization’s records and reports by (a) trained auditor(s). The auditors should not have prepared the these records or reports else it would end up a doctored audit report.
Auditors examine all the books, accounts, statutory records, documents and vouchers of an organization. This is with a view of ascertaining how the truth in the non-financial disclosures and financial statements.
While companies and public departments are required by law to have their accounts audited the law is somehow relaxed on small enterprises. To prevent future problems large firms employ both internal and external auditors for transparency.
What is Accounting?
Accounting is the process by which a professional and certified accountant measures, processes and communicates financial information about an organization or firm.
This measure may be intended to assess the viability of a business and levels of spending. This shows which department brings more revenue to the firm and other information. The statistics help determine the financial proficiency of an organization.