Statutory audit is done to comply with the legal requirements. We shall conduct the audit to express an opinion on the financial position, and results of the operations for the year ended. Our audit approach will be based on the review of the internal control, test checks to ensure the reliability of the data, and whether the accounts are in conformity with the generally accepted accounting principles and highlight to the management any weaknesses that come to our notice during our examination.
Having an annual statutory audit is very important to follow the law and make sure our finances are clear. The main goal of a statutory audit is to give an opinion about our financial situation and how well we did in the past year. At Excellence - a leading accounting and auditing firm in Muscat, our process for a statutory audit is careful and includes looking closely at our internal controls, doing important checks to make sure our data is reliable, and checking if our accounts follow the accepted accounting rules.
The reason for a statutory audit is not just about following rules, it's a very useful way to showcase a clear and honest view of how the organization is doing financially. While doing the audit, whether it is statutory or internal audit, we pay close attention to our internal controls, do checks to make sure our data is right, and see if we are following the accounting rules. Our goal is not just to do what the law demands but also to help by pointing out any problems or places where we can do better.
As a renowned Audit company in Muscat, we bring a bundle of expertise to statutory audits. Our professionals combine technical proficiency with a deep understanding of local regulations. This helps us in ensuring that your business in Muscat and Oman, adheres to statutory requirements. We deeply examine financial statements, internal controls, and compliance procedures to provide you with an accurate and reliable assessment.
In short, our annual statutory audit is all about making sure that the finances are right, following the rules, and giving helpful advice to make the organization work even better.
FAQ related to Statutory Audit:
A statutory audit is a legally required review of the accuracy of a company's or government's financial statements and records. The purpose of a statutory audit is to determine whether an organization provides a fair and accurate representation of its financial position by examining information such as bank balances, bookkeeping records, and financial transactions.
A statutory audit offers several benefits, including:
Financial Accuracy: It ensures the accuracy and reliability of a company's financial statements.
Compliance: Helps companies comply with legal and regulatory requirements, fostering transparency.
Credibility: Boosts the credibility of a company's financial information, enhancing trust among stakeholders.
Risk Identification: Identifies and addresses potential financial risks, providing insights for better risk management.
Investor Confidence: Enhances investor confidence by demonstrating a commitment to financial integrity and accountability.
Statutory audits involve an independent examination of a company's financial records, transactions, and statements to ensure compliance with legal and regulatory standards. The term statutory denotes that the audit is required by statute. A statute is a law or regulation enacted by the legislative branch of the organization’s associated government. Statutes can be enacted at multiple levels including federal, state, or municipal. In business, a statute also refers to any rule set by the organization’s leadership team or board of directors.
An audit is an examination of records held by an organization, business, government entity, or individual. This generally involves the analysis of various financial records or other areas. During a financial audit, an organization’s records regarding income or profit, investment returns, expenses, and other items may be included as part of the audit process. Several of these items are also used when calculating a combined ratio.
The purpose of a financial audit is often to determine if funds were handled properly and that all required records and filings are accurate. At the beginning of an audit, the auditing entity makes known what records will be required as part of the examination. The information is gathered and supplied as requested, allowing the auditors to perform their analysis. If inaccuracies are found, appropriate consequences may apply.
Being subject to a statutory audit is not an inherent sign of wrongdoing. Instead, it is often a formality designed to help prevent activities such as the misappropriation of funds by ensuring regular examination of various records by a competent third party. The same also applies to other types of audits.
Not all firms have to undergo statutory audits. Firms that are subject to audits include public and private companies, banks, brokerage and investment firms, and insurance companies. Certain charities are also required to complete statutory audits. Small businesses are generally exempt. Businesses must meet a certain size and employee base.