Audit Engagement

An audit engagement is a formal agreement between a company and an independent auditor to examine the company's financial records. The auditor reviews these records to ensure accuracy, compliance with laws, and proper representation of financial health. This process helps stakeholders, like investors and regulators, gain confidence in the company's financial statements. The engagement outlines the scope of the audit, responsibilities of both parties, and the timeframe. Essentially, it’s a professional review designed to provide an objective opinion on whether the company’s financial information is reliable and fairly presented.