Auditability

Dictionary Says

Definition of 'Auditability'


The ability to achieve accurate results in the examination of a company's financial reporting. Auditability is dependent upon the company's financial recording practices, the transparency of the company and the forthrightness of the managers who interact with the auditors. A company with a great deal of transparency and complete records has greater auditability than a company whose records are incomplete and whose managers are evasive.
Investopedia Says

Investopedia explains 'Auditability'


Auditability is an important factor in the auditing process. An audit is most effective when auditors are given access to the correct financial information. A company that is considered auditable allows auditors to do a more thorough and accurate assessment of the company's financials.
comments powered by Disqus
Hot Definitions
  1. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
  2. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  3. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  4. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  5. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  6. Momentum Investing

    An investment strategy that aims to capitalize on the continuance of existing trends in the market. The momentum investor believes that large increases in the price of a security will be followed by additional gains and vice versa for declining values.
Trading Center