What Are The Types Of Audit Reports?
Audit reports are financial status assessments of small businesses. These reports are done by accounting professionals and also cover Company’s liabilities and assets. A sample audit report template is very much helpful.
This report presents the assessment of a particular firm on future and financial position, which is done by an auditor. This report is very much essential when a company tries to trade publicly or a company is in a business in which the industry is regulated by Securities & Exchange Commission. These reports are also very beneficial for companies that need funds and want to upgrade internal controls. There’re 4 kinds of audit reports, which are given below:
This report is also known as clean opinion. This kind of report is issued by an auditor when he/she finds that the fiscal reports presented by a small business are free from any kind of falsification.
On situations when the financial records of a company haven’t been maintained according to GAAP but the auditor finds no misrepresentations then the auditor issues qualified opinion.
Adverse opinion is the worst kind of financial report issued to a company and it signifies that the financial records haven’t been maintained according to GAAP.
Disclaimer of Opinion
When an auditor fails to complete an accurate audit report due to some reasons, then the auditor issues disclaimer of opinion.
You can get help from sample audit report template.