Duties of an accounting auditor

Duties of an accounting auditor: Accounting auditors produce and review financial statements. They make certain that financial records are correct and that taxes are paid correctly and on schedule. Accounting auditors examine financial operations and work to guarantee that businesses run smoothly.

The purpose of the accounting analysis that financial auditors undertake on organizations is to assist with audit planning, the identification of errors, and regulatory compliance. They examine the documentation associated with a company to see whether or not its components have been accurately valued and accounted for. They also examine and confirm the accounting practices of businesses using data-driven processes and examinations.

In layman’s terms, an auditor is a person who is appointed by a firm to examine the books of accounts of that company, as well as the legality and precision of the transactions that are recorded within those books. In addition to this, he formulates an opinion regarding the overall view of the financial statements, namely whether or not the statements portray an accurate and fair assessment of the financial position of the entity.

Read Also: Duties of A Senior Accountant

Duties of an accounting auditor

• Make an audit report:

1. In simple terms, an audit report is an analysis of the financial health of a business. The auditor is in charge of putting together an audit report based on the company’s financial statements. The books of accounts that he looked at should be kept in accordance with the law.
2. He has to make sure that the financial statements are in line with the Companies Act of 2013, the relevant Accounting Standards, and other laws.
3. Also, he must make sure that the entity’s financial statements show a true and fair picture of the company’s financial situation.Duties of an accounting auditor

• If necessary, form a negative opinion:

Because it comprises the auditor’s view on the financial statements, the auditor’s report has a high level of certainty and dependability. If the auditor believes that the statements do not represent a true and fair picture of the business’s financial status, he has the right to express an adverse opinion of them.
Furthermore, if he is dissatisfied with the material presented and is unable to offer a proper opinion on the statements, he will provide an opinion disclaimer. A disclaimer of opinion basically states that the financial position of the organization cannot be ascertained due to a lack of information. It should be highlighted, however, that the reasons for such a negative view must also be included in the report.

Read Also: Duties of An Auditor

• Make inquiries:One of the auditor’s primary responsibilities is to conduct inquiries when needed. Among the inquiries are the following:

1. Whether loans and advances granted on the basis of security are properly secured, and whether the terms governing them are reasonable.
2. If personal expenses (expenses unrelated to the business) are charged to the Revenue Account.
3. Deposits are recorded when loans and advances are made. d. Whether the financial statements are in accordance with the applicable accounting rules.

• Provide assistance in the event of a branch audit

Where the auditor is the branch auditor rather than the company auditor, he will assist in the completion of the branch audit. He must create a report based on the branch’s accounts as evaluated by him and deliver it to the company auditor. The company auditor will then add this report to the company’s main audit report. Furthermore, if requested, he may disclose excerpts of his working papers to the business auditor to aid in the audit.

Read Also: Duties of An HR Specialist

• Observe Auditing Standards

The Central Government issues the Auditing Standards in collaboration with the National Financial Reporting Authority. These criteria assist the auditor in carrying out his audit tasks with appropriate ease and precision. It is the auditor’s responsibility to follow the standards while executing his tasks because doing so boosts his efficiency.InformationGuideNigeria 

• Fraud Reporting

In general, when doing his duties, the auditor may have specific suspicions about fraud within the organization, such as circumstances where the financial statements and the statistics contained therein don’t quite line up. If he finds himself in such a circumstance, he must notify the Central Government immediately and in the way stipulated by the Act.Romantic love messages

• Follow the Code of Ethics and the Code of Professional Conduct.

As a professional, the auditor must follow the Code of Ethics and the Code of Professional Conduct. Part of this is maintaining the confidentiality and using reasonable care in the performance of his obligations. Professional skepticism is another crucial requirement. In other words, the auditor must have a critical mind and be on the lookout for any mishaps, errors, and fraud in the financial statements.

• Help with an investigation

In the event that the company is the subject of an inquiry, it is the auditor’s responsibility to assist the officers as needed. As a result, it is clear that the auditor’s responsibilities are quite complex, with a broad and far-reaching impact. A set of audited financial accounts provides a far better level of assurance than normal unaudited financial statements.15 Best Animation Software for Marketing Video Online for Free

Read Also: Duties of a Resident Assistant

• Conduct a thorough review of the company’s financial accounts to ensure that they are correct and in accordance with all applicable laws and regulations.
• Calculate the amount of taxes that are owed, create tax forms, and verify that taxes are paid in a timely manner and in the correct amount.NYSC Portal
• Examine the accuracy of the account books and accounting systems, as well as the adoption of generally accepted accounting practices.
• Maintaining and organizing one’s financial records.
• Perform an analysis of the company’s financial operations and provide management with recommendations regarding best practices.
• Provide suggestions on how costs may be cut, revenue can be increased, and profits can be increased.
• Establish a system of internal auditing to ensure the smooth operation of the financial department.
• Analyze and evaluate the effectiveness of the accounting functions’ internal controls.
• Ensure that the senior management receives audit reports on a regular basis that you have prepared.
• Make certain that all auditing programs are finished on schedule.
• In order to accomplish audit goals and objectives, guide and lead audit teams to success.
• Complete a review and a reconciliation of all of the ledger balances, including the customers and the vendors.
• If necessary, suitable adjustments should be made throughout.
• Ensure that the top management has access to a complete record of all audit reports and results.
• It is imperative that all auditing systems and accounting operations make use of the industry’s best practices and processes.15 Best Photochromic Glass and their Prices in Nigeria
• Conducting in-depth research on the companies being audited before beginning the auditing procedure.
• Conducting end-to-end planning for conducting financial audits of businesses.
• During the auditing process, collecting, preparing, and arranging both physical and digital documentation are required steps.
• Specifying the primary concerns and problems that require additional research and consideration.
• Evaluating essential aspects of a company’s operations and values.
• Collaborating with other auditing clerks, internal auditors, and tax officers to examine and evaluate various numbers, accounts, and statements.
• In preparation for the audit, papers, numbers, and account details are being verified.JAMB portal
• Contributing to the determination of valuations, data, and projections by helping other stakeholders.
• Putting together a comprehensive report of results and delivering it, both in writing and verbal form, to more senior members of the auditing team.
• Providing recommendations and advice on the subsequent activities and procedures that should be carried out by the company.
• Assembling, validating, and doing analysis on the spreadsheet data
• Auditing the company’s books as well as its financial management systems
• Determining how much of a financial risk an organization is willing to take
• Ensuring that all reports and documents pertaining to finances are accurate and trustworthy
• Taking precautions to prevent loss of assets
• Determining whether or not certain processes are not operating as they should, as well as advising on any necessary modifications to be implemented
• Putting together documents including reports and commentaries as well as financial statements
• maintaining communication with the managerial staff and sharing research findings and suggestions
• Making certain that all processes, policies, laws, and regulations are adhered to in the appropriate manner and are met with full complianceGood morning my love messages
• Conducting investigations into the pay scale.

Read Also: Duties of a Janitor

Accounting auditors must not only examine and prepare financial documents but also communicate their conclusions. This involves writing reports and having face-to-face encounters with clients and managers of the organization.
Depending on the specific company they work for, many accountants and auditors specialize. Some people work for companies with assurance services (increasing the caliber or context of information for decision-makers) or risk management as their area of expertise (determining the probability of a misstatement on financial documentation). Other businesses, like those in the medical field, are specialized in particular sectors.

Conclusion

We hope that you will find this article useful. You can also use this as a guide to know the duties of an accounting auditor if you are hoping to work as one.

Check JAMB Result

Check and Confirm: How much is Dollar to Naira

📢 We are hiring writers!