Audit firms and audit reports

External audit firmsin Pakistan play a critical role in validating an organization’s financial information. As a part of the Securities and Exchange commission of Pakistan’s requirement, businesses that are trading in the stock market, need to have their accounts audited from an external auditing firm in Pakistan. This is why they have a huge responsibility on themselves, to provide an unbiased and true auditing report. However,If a party discovers that an auditor failed to detect material misstatements, it reflects poorly on the firm and the profession in general. For that reason, accounting bodies in Pakistan release auditing standards and expectations to define the role of external audit firms in Pakistan.

The external, independent audit firm is engaged to offer an opinion on whether an organization’s financial statements are presented fairly, in all material respects, in accordance with financial reporting framework of Pakistan. The audit provides stakeholders of the organization, such as lenders and investors with an enhanced degree of confidence in the financial statements. An audit conducted in accordance with Institute of Chartered Accountants Pakistan relevant ethical requirements enables the auditor to form that opinion.

To form their opinion about the organization, the auditor gathers appropriate and sufficient evidence and observes the organization, tests are conducted, comparisons are made and confirmation is not made until gaining reasonable assurance. The auditor then forms an opinion of whether the financial statements of the organization audited, are free of material misstatements, whether due to fraud or error.After which the report is published.

Other than being used by the stakeholders of publicly traded business, audit firms in Pakistan can provide number of services to business that are not trading in publicly in the stock market. The audit service, will not only check the business accounts but also act as a checking service for the company itself. Enabling it to see that the company’s department are following the rules and regulation accordingly. It is an evaluation not for the external stakeholders only but it has a great impact on the internal stake holders as well. Sayub& co. is an audit frim inKarachi, thar you could use for the auditing services. We also provide a range of services other than auditing. For information of our services contact us today.