Auditor

Loading the player...

What is an 'Auditor'

An auditor is an official whose job it is to carefully check the accuracy of business records. An auditor can be either an independent auditor unaffiliated with the company being audited or a captive auditor, and some are elected public officials. The term is sometimes synonymous with "comptroller." Auditors are used to ensure that organizations are maintaining accurate and honest financial records and statements.

BREAKING DOWN 'Auditor'

Auditors can work for many different entities, such as the IRS or a state government. Auditors are also found in the private sector at accounting firms. There are both internal and external auditors; internal auditors are usually employees or contractors with the company they are auditing, while external auditors generally work either directly for or in conjunction with governmental agencies.

RELATED TERMS
  1. Independent Auditor

    A certified public accountant who examines the financial records ...
  2. Auditor's Report

    Recorded in the annual report, the auditor's report tests to ...
  3. Audit Cycle

    The accounting process that auditors employ in the review of ...
  4. Positive Confirmation

    An auditing inquiry that requires the customer to respond to ...
  5. Institute Of Internal Auditors ...

    A leader in certification, education and research for professionals ...
  6. Generally Accepted Auditing Standards ...

    A set of systematic guidelines used by auditors when conducting ...
Related Articles
  1. Professionals

    What Does an Auditor Do?

    An auditor ensures that organizations maintain accurate and honest financial records.
  2. Executive Compensation

    Financial Auditor: Job Description & Average Salary

    Discover what it means to hold a financial auditor position, including typical job duties, education and training, required skills and expected salary.
  3. Professionals

    Financial Auditor: Career Path & Qualifications

    Learn more about what it takes to become an internal or external financial auditor, and determine whether the profession is right for you.
  4. Professionals

    The Auditor and Audit Opinion

    CFA Level 1 - The Auditor and Audit Opinion. Learn about the role and responsibility of the auditor. This outlines what is occurs in an audit and the requirements for a qualified opinion.
  5. Professionals

    Internal Auditor: Job Description & Average Salary

    Learn about what the job of internal auditor entails, as well as the median salary, education and certifications required and future career path.
  6. Professionals

    Internal Auditor: Career Path & Qualifications

    Find out what kind of work internal auditors do in large organizations, and learn more about how to get started working in the field.
  7. Professionals

    Career Advice: Accounting Vs. Auditing

    Understand the subtle distinctions between accounting and auditing, and learn what each offers a new graduate in terms of salary, job security and daily life.
  8. Budgeting

    7. Resignations

    Companies provide distress signals long before they go under. Find out how to read them.
  9. Markets

    Fundamental Analysis: Other Important Sections Found in Financial Filings

    By Ben McClureThe financial statements are not the only parts found in a business's annual and quarterly SEC filings. Here are some other noteworthy sections: Management Discussion and Analysis ...
  10. Professionals

    Common Interview Questions for Financial Auditors

    Identify questions commonly asked at financial auditor job interviews, and learn to formulate winning responses that give your candidacy a boost.
RELATED FAQS
  1. How important are contingent liabilities in an audit?

    Read about the importance of contingent liabilities during an audit, why audits are necessary and how contingent liabilities ... Read Answer >>
  2. What are some examples of inherent risk?

    Read about the nature of inherent risk in preparing and executing financial audits, including some common situations that ... Read Answer >>
  3. How is inherent risk assessed by an auditor?

    Learn how CPA auditors assess the levels of inherent risk of different audit areas that they use to design the procedures ... Read Answer >>
  4. What are the benefits of financial sampling?

    Learn more about how financial sampling is used to determine whether or not inaccurate or fraudulent information exists in ... Read Answer >>
  5. Are IRS audits random?

    Learn about how the U.S. Internal Revenue Service (IRS) conducts its tax audits based on random selection, document matching ... Read Answer >>
  6. Why was the accountant responsible for auditing ZZZZ Best unable to determine that ...

    Find out why the accountant responsible for auditing ZZZZ Best couldn't determine that the company was engaged in a Ponzi ... Read Answer >>
Hot Definitions
  1. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  2. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  3. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  4. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  5. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  6. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
Trading Center