BNET Business Dictionary
Business Definition for: Audit
- a systematic examination of the activities and status of an entity, based primarily on investigation and analysis of its systems, controls, and records
Wiktionary Definition for: Audit
- #An examination in general; a judicial examination.
- An independent review and examination of records and activities to assess the adequacy of system controls, to ensure compliance with established policies and operational procedures, and to recommend necessary changes in controls, policies, or procedures
- To conduct an independent review and examination of system records and activities in order to test the adequacy and effectiveness of data security and data integrity procedures, to ensure compliance with established policy and operational procedures, and to recommend any necessary changes
- To attend an academic class on a not-for-academic-credit basis.
Additional Resources
- Conducting an Internal Audit
- The internal audit is an essential—and now much discussed—part of business. The Institute of Internal Auditors, an international association of internal auditors, offers this definition: "An independent, objective assurance and consulting activity designed to add value and improve an organization's operations. It helps an organization accomplish its objectives by bringing...
- Articles 2007-11-15
- SEC Adopts New Rules Governing Determination and Disclosure of Audit Committee Financial Experts
- This paper provides the description of the new rules that if the company has an audit committee financial expert, then the company must disclose the name of the expert and whether the person is independent of management. In determining whether an audit committee member is independent, domestic companies will need...
- White papers 2003-05-30
- Sarbanes-Oxley Act Update: SEC Adopts New Standards For Audit Committees Of Listed Companies
- The significant public comment, the U.S. Securities and Exchange Commission SEC adopted on April 9, 2003 new Rule 10A-3 under the securities Exchange Act of 1934 (the Exchange Act.), as required by Section 301 of the Sarbanes-Oxley Act (the Sarbanes-Oxley Act.). Rule 10A-3 establishes specific requirements relating to the composition...
- White papers 2003-05-09
- Audit Committee Administration Of The Engagement
- This article states that management has retained the accounting firm, negotiated the audit fee, and contracted with the accounting firm for other services. The proposed rules, however, recognized the critical role that audit committees can play in the financial reporting process and in helping accountants maintain their independence...
- White papers 2003-01-29
- Separating Audit And Tax
- In the post Sarbanes-Oxley world, CFOs staring down the double barrel of new SEC auditor independence rules and heightened IRS scrutiny must decide whether their audit firm should continue to provide them with tax services. Legally, audit firms can provide a range of tax services for their audit clients, but...
- White papers 2003-05-01
- Independence and Objectivity Retired Partners on Audit Committees
- Corporate audit committees, their membership, and their responsibilities have received increased attention since the collapse of Enron. Of paramount importance in the composition of an audit committee of a public company is the assurance that its members are competent to provide adequate oversight of the audit function and are independent...
- White papers 2003-01-01
- Why a Search Audit is Essential
- Hordes of firms are taking their search marketing strategy in-house. It's a recent phenomenon; in the past, freelancers and consultants, were the go-to point-people. In order to make that critical choice, and other decisions, about your future web marketing strategy you should perform a site audit. What does an audit...
- Blog posts 2008-03-05
- Current Developments for Audit Committees 2003
- Boards' and audit committees' expanding responsibilities pose significant challenge for directors. They already are finding that concerns about time commitments, liability, and reputation are making recruiting new members increasingly difficult. Audit committee members look at the breadth of their new responsibilities, questioning whether their plates are too full, and whether...
- White papers 2003-01-01
- Audit Committee Requirements and Independent Auditors
- The Sarbanes-Oxley Act of 2002 (the "Act") imposes extensive regulation upon public company audit committees and their independent auditors. The Act, and its implementing regulations, enhance audit committees' responsibilities and duties and clarify the scope of services that an accounting firm can provide to an audit client while retaining its...
- White papers 2003-01-01
- Sarbanes-Oxley Update: Enhanced Audit Committee Standards
- On January 8, 2003, the Securities and Exchange Commission (the "SEC") proposed Rule 10A-3 to implement Section 10Am(1) of the Securities and Exchange Act of 1934 (the "Exchange Act"), as added by Section 301 of the Sarbanes-Oxley Act of 2002 ("Sarbanes-Oxley"), which directed the SEC to adopt rules prohibiting the...
- White papers 2003-01-01
- Rules Implemented Disclosure of Audit Committee Financial Experts
- The SEC has issued final rules to implement Section 407 of the Sarbanes-Oxley Act of 2002. The rules require every public reporting company, including small business issuers and foreign private issuers, to disclose in their annual reports filed with the SEC: 1. Whether the company has at least one "audit...
- White papers 2003-01-26
- The Effect Of The Sarbanes-Oxley Act On Public Company Audit Committees
- In this post-Enron era, the rules for corporate Governance, especially for audit Committees of public company boards of directors are rapidly and radically changing. The most sweeping legislation in corporate governance in several decades, the Sarbanes-Oxley Act of 2002 (the "Act"), was signed into law on July 30, 2002. It...
- White papers 2003-01-01
- The Non-Audit Service Restrictions Of The Sarbanes-Oxley Act
- The Act's most significant impact on audit quality will be through the establishment of the new public accounting board, with its significant new inspection and disciplining powers. As for non-audit services, Congress established a "clear line" between permissible and prohibited non-audit services, but there already was such a line under...
- White papers 2002-09-24
- NSA Audit Registry and Audit Hotline
- NSA is pleased to announce a new member benefit--The NSA Audit Registry and Audit Hotline. These new programs are designed to assist and support NSA members who are involved in audit representation. NSA members who register IRS notices of examination with the NSA Audit Registry are eligible to use...
- Research articles 2002-12-01
- Conducting an Information Audit
- As the pace of technological change accelerates, organizations have to make decisions ever more rapidly, which means they need systems in place to support that decision-making process. Accurate information is the key to effective decision-making. However, it is easy to become sidetracked by junk e-mails and information overload. An information...
- Articles 2007-11-16
- Audit Committees Providing Oversight in Challenging Times
- The collapse of Enron has created a crisis of confidence in our country's financial reporting system. The media and political frenzy in the aftermath of Enron's failure has sparked debate regarding a wide range of possible solutions—many of them are aimed at the auditing profession and relationships between auditors and...
- White papers 2003-01-01
- Corporate Audit Committees: An Approach to Continuous Improvement
- Audit committees today are faced with the sizable task of overseeing both the auditing and financial reporting processes. The final rules of the SEC, national stock exchanges, and the AICPA's Auditing Standards Board cover corporate governance of audit committees, including independence, qualifications, charters, external auditor involvement, and reports. It remains...
- White papers 2002-07-01
- Understanding and Complying with the Sarbanes-Oxley and NYSE and Nasdaq Requirements Affecting Audit Committees
- "The Sarbanes-Oxley Act of 2002 (the "Act") and the new corporate governance listing standards proposed by The New York Stock Exchange, Inc. (the "NYSE") and the The Nasdaq Stock Market, Inc. ("Nasdaq") will significantly affect the composition and expand the duties of the audit committees of boards of directors of...
- White papers 2003-03-21
- Standards Relating to Listed Company Audit Committees (Final Exchange Act Rule 10A-3 as mandated by Sect. 301 of Sarbanes-Oxley Act)
- On April 9, 2003, the Securities and Exchange Commission (the "Commission") released final Rule 10A-3, "Standards Relating to Listed Company Audit Committees" (Rel. No. 33- 8220; 34-47654; IC-26001; File No.S7-02-03) ("Rule 10A-3"). Rule 10A-3 implements the requirements of Section 301 of the Sarbanes-Oxley Act of 2002 (Section 10Am(1) of the...
- White papers 2003-06-11
- Sarbanes-Oxley Regulation- Non-Audit Services by Independent Accountants
- On January 22, 2003, the Securities and Exchange Commission adopted final rules to carry out the provisions of the Sarbanes-Oxley Act of 2002, restricting the types of non-audit services which auditing firms may provide to their audit clients, and imposing audit committee approval requirements and corporate disclosure obligations with respect...
- White papers 2003-03-01
