Audit Quality and Assurance in Australia

Microsoft
Audit assurance and Quality
Audit assurance and Quality
[Type the author name]
University Name-

Table of Contents
Introduction...........................................................................................................................................1
Audit Quality and assurance in Australia (Audit quality’ and how ‘audit quality’ might be assessed).. 1
ASSESSING AUDIT QUALITY...................................................................................................................2
IMPACT OF AUDITOR’S INDEPENDENCE ON AUDIT QUALITY IN AUSTRALIA.........................................3
IMPACT OF AUDIT EXPETATIONS GAP ON AUDIT QUALITY...................................................................4
Conclusion.............................................................................................................................................5
REFERENCES......................................................................................................................................6

Introduction
In this research essay, the main focus has been made on the Audit Quality and
assurance in Australia, which is used to assess the financial performance of company. The
financial information of any entity is necessary to be disclosed to the public to keep the
busienss more transparent as per Australian accounting and reporting frameworks. The public
involves all the elements of the stakeholders that are in need of that information. The
financial information presented by the entity helps the public in making knowledgeable
decisions. The value of the actions that stakeholders take is affected by the quality of those
financial statements. The financials are prepared by the entity itself for its own financial
performance. As the makers are the same on whom the financials are prepared, it gets
difficult to place reliability on those financials. The users face difficulty in generating faith on
the information that the company has presented.
To eliminate this distrust, the audit function comes into picture. Every entity, whether
it is big or small is required to get its accounts audited. The audit function is to be carried by
a professional who is independent and unbiased. This professional is majorly known as the
accountant. Audit refers to the independent and non-prejudiced examination and assessment
of entity’s financials and control environment. However, audited financial statements can
also not be relied, until and unless they are audited with utmost quality and professionalism
(Hilary, 2017).
Audit Quality and assurance in Australia (Audit quality’ and how ‘audit
quality’ might be assessed).
The concept of Audit Quality and assurance in Australia comes into picture whenever
a good audit is concerned. The audit quality is accompanied with the fact that it increases the
transparency of the financial statements, true and fair view of the assets and liabilities and
strengthens transparency of company. The overall outcomes for increased business
performance of organization are based on the audit performance and quality of the audit
assurance program. There is no set definition of what can be called as audit quality. However,
the International Auditing and Assurance Standards Board put emphasis on the fact that the
audit’s purpose is to foster the confidence level that the ultimate users perceive for the
financial statements. So the auditors must perform the audit function in the most qualitative