Statutory Audit under Companies Act
Statutory audit is mandatory for companies to ensure true and fair representation of financial statements as per the Companies Act, 2013.
Audit involves examination of:
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Books of accounts
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Internal financial controls
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Compliance with accounting standards
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Verification of assets and liabilities
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Director’s report consistency
The auditor issues an independent opinion on financial statements, enhancing credibility with shareholders, lenders, and regulatory authorities.
Statutory audit also strengthens corporate governance and financial transparency.