What does an audit involve?

A financial audit for Hong Kong businesses involves an auditor checking the company’s financial records to make sure they follow the rules and standards known as Accounting Standards. They look at the company’s money-related documents, like income and spending, to ensure they’re accurate and meet the required standards. The goal is to provide confidence to both the company’s management and external parties, such as investors or regulators, that the financial information is reliable. The auditor also examines if there are any mistakes or misleading information in the financial statements. The audit report may be submitted to the Inland Revenue Department to show compliance with financial reporting frameworks.