Question

What is the role of the certified public accountant in the audit process?

Answer 1

Certified Public Accountants or CPAs are basically financial advisors who helps individuals and other business organisations in their financial planning. They are the licensed auditor in US accounting system.

In the financial audit service, the CPAs basically reviews and evaluates the client’s financial statements presented by the management. They are considered to be a third part organisation without any biasness towards any business lines within the organization. Post analysis, the CPA provides his/her findings on whether any irregularities are found in the financial disclosure made and also if there are any materials misstatements. They also verify if all the general accounting principles were followed in generating those statements.

Public companies can’t issue their financial statements to shareholders and general public unless those are audited by a CPA.