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A financial audit examines a company's financial statements to determine if they are accurate, complete, and comply with relevant standards. It is performed by independent accounting firms and results in an opinion on the statements. The audit has several stages - planning, internal controls testing, substantive procedures like analytical reviews and detailed testing, and finalization where the auditor compiles their report. The goal is to reduce the risk of material misstatements in the financial statements.
A financial audit examines a company's financial statements to determine if they are accurate, complete, and comply with relevant standards. It is performed by independent accounting firms a…