Roles and Responsibilities of Auditor in Wesfarmers Limited

Audit, Assurance and Compliance
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Executive summary
Auditing is very important function for business organisation their roles and responsibilities
of auditor are specified by governing authorities. These governing authorities include
government and accounting board of a particular country that specify roles and
responsibilities of an external auditor. This report has performed a detailed examination of
financial statements and audit report of the company in order to evaluate the roles and
responsibilities performed by auditor and management to depict true financial position of the
company. On the basis of examination of annual report it can be said that roles and
responsibilities are properly followed by auditor and financial statements of the company are
presenting true and fair view of Wesfarmers limited.
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Contents
Executive summary....................................................................................................................2
Introduction................................................................................................................................4
Analysis of annual report...........................................................................................................5
Conclusion................................................................................................................................12
References................................................................................................................................13
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Introduction
Business industry of Australia is very diverse and there are various big organisations that are
working globally. It is important for these organisations to conduct audit of the financial
statements because there are various stakeholders that a substantial amount of interest in
business organisation. There are various stakeholders that cannot understand financial
statements prepared by the company due to lack of knowledge in relation to finance and
economics. Main objective of conducting an audit is to check accuracy of financial statement
prepared by the company and representation of financial position by evaluating financial
statements (Knechel and Salterio, 2016). This report will evaluate the audit function
performed by auditor of the company in Wesfarmers Limited for the year ending 2017. This
report will conduct deep analysis of roles and responsibilities of an auditor and actual
auditing functions performed in the company during this financial year. In addition to that
audit committee maintained by the company will also be evaluated on the basis of roles and
responsibilities defined in charter of the company. Wesfarmers is one of the largest retail
sector company in Australia with highest number of customers and market share capital. It is
also a public company which shows that there is a substantial amount of public interest in the
company. Therefore it can be said that it is important to conduct an audit procedures in the
company due to high level of interest from public and other stakeholders.
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