what is auditing in accounting

Auditing in accounting refers to the examination and verification of various books of accounts and financial records to ensure their accuracy and compliance with relevant standards. It is an important process that provides an independent opinion about a company's financial statements. Audits can be conducted internally by employees of the organization or externally by independent auditors. There are three main types of audits: external audits, internal audits, and government audits. External audits are commonly performed by certified public accounting firms, while internal audits are conducted by the employees of a company or organization to improve decision-making and internal controls. The main goal of auditing is to ensure that a company's financial statements are accurate and reliable, providing valuable insights for investors, creditors, and other stakeholders