Financial Systems and Auditing Essay Example | Topics and Well Written Essays - 1500 words

Financial Systems and Auditing - Essay ExampleThe auditors responsibility is to form and express an opinion on the companys monetary pass onments, while the entitys management is responsible for the grooming and presentation of financial statements. Audit in general may include the entire examination of the units organization, the system as well as the function including the paygrade if the audit complied with significant laws, its rules and regulations. The audit must also be in compliance to the applicable policies of University, there should be internal controls adequacy and the trading operations efficiency and its forcefulness. The revolve about of the audit is to determine the adequacy of procedures and the companys internal control. The adequacy in procedures is indeed a great help for the purpose of ensuring the systems objectives, the function of the company and to achieve the units effectiveness and efficiency. The adequacy of control is also preventing the outcome o f occurrence and therefore unwanted.The available financial records in an audit are audit statements, bond issues, budget, the annual countywide financial reports and other financial reports. The audit statements should be selective in terms of the statements type, not just only with the objects of specific schema where the company operates moreover the options must be broad in terms of the use of auditing and the consideration with the options of related actions. The audit statement must be for users selection for the purpose of tracking several statements. Bond issues maybe through underwriting which is usually the common process. The underwriting of bonds includes one or more securities of firms and banks forming the syndicate buying the bonds entire issue coming from the issuer then reselling to the investors. The bonds of government are said to be auctioned.Another record of the company that needs to be audited is the budget. Budget is the detailed plan, expressed in quanti tative terms that pin down how resources will be acquired and used during a specified period of time. Budget should be audited in order to find the most profitable direction which the operations can take and in order for the company to develop in detail the balanced and coordinated program in direction and to assist in controlling the operations in the execution of the said programs. Budget must have the complete support of top management and it must be pragmatic and the goals must also be attainable. The Financial Report is the statutory basis that must be prepared for audit purposes wherein this can be meeting the requirements of state finance law in order to present fairly the results for computing and certifying the Stabilization Fund balance and the fund for Tax Reduction to report and disclose the aspects pertaining to the financial performance. The importance of other financial r