There are many different types of audits. An audit may be of one or more of the following types:
Financial audits are examinations of financial transactions and systems/procedures used to process them. These types of audits may also include assessment of balances or amounts on financial statements or reports.
Compliance audits determine the degree to which the auditee adheres to laws, regulations, policies, procedures, or contract agreements.
Operational audits are designed to test the efficiency and economy of operations. Performance audits are designed to audit progress towards goals or objectives established by management.
Internal Audit undertakes investigative audits when circumstances or evidence suggest a fiscal irregularity involving taxpayer resources.
- Follow-up Audits
Follow-up audits determine whether management has taken appropriate, effective and timely action to address previously reported issues.