Statutory Audit is required by law and is normally carried out by an external auditor whose appointment is mandated by law. This is a legally required review of the accuracy of a company’s or Government’s financial records. The purpose of a statutory audit is the same as the purpose of any other type of audit which is to determine whether an organisation is providing a fair and accurate representation of the financial position by examining information such as bank balances, bookkeeping records and financial transactions.
Internal Audit is also an independent, objective assurance and consulting activity designed to add value and improve on an organisation’s operations, and professionals called internal auditors are normally employed by organisations to perform the internal audit activity. Generally governing bodies and senior management rely on internal auditing for insight and objective assurance that existing internal controls are adequate to mitigate the organisation’s risks, governance and risk management processes are effective and efficient and that organisational goals and strategic objectives are met.
Audit & other assurance related services are other types of audit and assurance procedures carried out in accordance with agreed upon procedures that assist the auditor to present a statement of factual findings on the basis of which those charged with governance can make conclusions.
