6 Essential Features of an Audit

6 Essential Features of an Audit

The audit is structured into activities that follow a logical sequence. The audit will focus on the management and delivery of the electronic device, which supposes fluxes of electronic device and procedures of treatment specific associated.

There are six essential features or characteristics of auditing are;

  1. Systematic process.
  2. Three-party relationship.
  3. Subject matter.
  4. Evidence.
  5. Established criteria.
  6. Opinion.

The essential features of Auditing are explained below;

  1. Systematic process
    Auditing is a systematic and scientific process that follows a sequence of activities, which are logical, structured, and organized.
  2. Three-party relationship
    The audit process involves three parties, that is, shareholders, managers, and the auditors.
  3. Subject matter
    Auditors give assurance on a specific subject matter. However, the subject matter may differ considerably, such as – data, systems or processes and behavior.
  4. Evidence
    Auditing process requires collecting the evidence, that is, financial and non-financial data, and examining thereof.
  5. Established criteria
    The evidence must be evaluated regarding established criteria, which include International Accounting Standards, International Financial Reporting Standards, Generally Accepted Accounting Principles, industry practices, etc.
  6. Opinion
    The auditor has to express an opinion as to the reasonable assurance on the financial statements of the entity.

Conclusion on Audit Features

Audit Features influences the objectives of the audit to refer to the
security of the information and systems, the protection of the personal data, the access to
some data bases with an informational sensitive character.