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What is the difference between auditing and accounting?
relationship between audit and accounting
Auditing and accounting are intertwined, but both are different functions. The directors of a company are responsible for establishing the books of accounts
It is used to accurately record financial information and prepare annual financial statements. as well as the responsibility of the directors
Use consistent and appropriate accounting principles to prepare and present financial statements. Financial statements must comply with national and international requirements.

Financial Reporting Standards (IFRS).

Accounting is the logical/ systematic recording, classification, compilation and reporting of financial information for decision making purposes. In order to provide relevant and reliable information, accountants must have a good understanding of the principles and policies that are subject to them.
Preparation of financial statements. In the audit of financial statements, the concern is to determine whether the financial information obtained during the reporting period is true (fair and reasonable). Since the auditors are primarily concerned with the end result of this work, that is, do the financial statements reflect a true and fair view? Auditors should have a thorough knowledge and understanding of accounting (including applicable accounting standards) and, in practice, consult with auditors on appropriate policies to arrive at their conclusions. to be followed in accounting.

Many financial statement users and the general public are confused in accounting. The results are confusing because most audits involve accounting information, and many auditors are not well-versed in accounting matters. Confusing the title of “chartered accountant” to individuals who perform a significant part of the audit process adds to the confusion.

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