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2. International Islamic University ChittagongDhaka CampusGroup CMd. Mehedi Hasan B081501Md. Badrul AlamB081502Md. Wali Ullah Rifat B081516Md. Masum Billah B081560Md. Tarekur Rahman B071705 3. Principles & Practices of Auditing Advantages of Audit Classifications of Audit Distinction between Continuous & InterimAudit Internal Audit vs External Audit 4. Md. Shaheb Ali MondalAsst. ProfessorBachelors of Business Administration Dept.International Islamic University ChittagongDhaka Campus 5. What is an AuditAn audit is an accounting procedure underwhich the financial records of a company orindividual are closely inspected to make surethat they are accurate. The Main PurposeOne of the main purposes of the auditorsreport is to ensure that the finances of thecompany, both the Accounts Payable and theAccounts Receivable, are being conducted in amanner that is in keeping with legalrequirements. 6. Advantages To Business Advantages To The Public Advantages To The State 7. 1.Satisfaction of Owner2. Detection and Prevention of Errors3.Verification of Books4.Independent Opinion5.Detection and Prevention of Frauds6.Moral Check7. Protection of the Rights and Interests ofShareholders 8. 8.Reliance by Outsiders9.Loan Facility10. Easy Valuation11. Upto Date Record12. Reliance by Partners13. Reliance by Shareholders 9. 1. Safety from Exploitation2. Facility for Prospective Investor3. Satisfaction about Business Operations 10. 1. Privatization of Industries2. Easy Assessment of Tax3. Quick Recovery of Taxes4. Leading to Economic Progress 11. Audit LegislativeRelation ofPeriodicitySubject MatterCoverage Manner of ControlAuditorCheckingvis to vis Continuous Financial Audit Complete AuditStatutory Audit Management Audit Standard AuditOperationalPartial Audit Interim AuditAuditBalance Sheet Government External AuditAuditPeriodical Audit Cost Audit AuditInternal Audit Occasional Management Post & Vouch Private Audit Audit AuditAudit 12. FactorsContinuous AuditInterim AuditDefinition An audit which involves a detailed examinationAn audit, which is, conducted between the of the books of account of regular intervals is two periodical or balance sheet auditors known as continuous audit i.e. one month or three month.ObjectiveTo know profit or loss is not necessary.To find the profit or loss is important.Audit Date The work of audit is carried on up to any dateThe work of audit is carried on up to a according to the convenience of the auditor and definite date according to the instructions his client. of the client.Verification Assets & Liabilities are verified after the balance Assets & Liabilities are verified when suchof Assets &sheet has been prepared an audit is conductedLiabilitiesTrailNo need to prepareHas to be prepared or checkedbalancepreparationOrganizatioIt is applied in big organization.It is applied in all type of organizations.n size 13. Internal Auditing External AuditingIt provides the information to owner of Main purpose of external audit is to giveCo. and management only.the information of internal as well asexternal i.e. owner, government etc.Employee under the direct control ofThis audit is made by the registeredmanagement does internal audit. auditorInternal auditor is fully related toExternal auditor is free from managementmanagementIt is continuous nature It is conducted periodicallyInternal auditor may or may not haveIn all case of statutory audit, auditor mustprofessional qualificationhave professional qualifications. 14. The season for audienceQuery ?