01-28-2004, 02:52 PM
Dear Usman,
who says that the auditors ignore the cost during their audit, i think u dont have the idea of audit, there is no link of audit with the profit or loss of the company (except for the major deviations from preceding years), audit simply increase the realiability of the financial statements that whatever information is being presented in the F/S gives a true and fair view. However cost audit, on the other hand, carries its own importance and in pakistan some manufacturing units are legally required to get their records cost audited, e.g. Ghee Mills, Sugar Mills etc.
SMR
who says that the auditors ignore the cost during their audit, i think u dont have the idea of audit, there is no link of audit with the profit or loss of the company (except for the major deviations from preceding years), audit simply increase the realiability of the financial statements that whatever information is being presented in the F/S gives a true and fair view. However cost audit, on the other hand, carries its own importance and in pakistan some manufacturing units are legally required to get their records cost audited, e.g. Ghee Mills, Sugar Mills etc.
SMR
