Distinguish Between Interim Audit And Final Audit, Can You Help?

Question

Distinguish Between Interim Audit And Final Audit, Can You Help?

3 Answers

Answer Question

Answer 1

Interim audit is done during the financial year for the following reasons:
Detect problems early and get a chance to correct them
Reduce the work load of doing one comprehensive audit at financial year end.

Final audit on the other hand is the audit conducted at the end of financial year and in most countries it is a statutory requirement.

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Answer 2

Interim Audit: It takes place just before the year end and focuses on tests of control.
Final Audit: The final audit takes place between the year end and the reporting deadline. It focuses on substantive procedures.

Answer 3

Basically interim audit is the audit which is carried out;
even during the final audit is in process. Interim audit can also be considered as the audit of quarterly statements, whereas the audit of annual statements is known as final audit. In the interim audit, inventory observations and other such activities are also carried out, which are concluded in the final audits.

A system based audit is the non-regulatory audit and it requires the cooperation of senior management. This audit is necessary for the internal success of the company. Audit risk is the concept that is related with final audit or the financial audit. The objective of this audit is to provide the fair financial position of the company through the audit of its financial statements.