What Is Audit?

Patrick Curtis

Reviewed by

Patrick Curtis WSO Editorial Board

Expertise: Investment Banking | Private Equity

Auditing is a service provided by financial service firms (i.e. Deloitte, PriceWaterHouse Cooper, KPMG, Ernst & Young). It requires a lot of accounting skills and knowledge and can be a way to break into investment banking as an Associate (although this is quite hard). Audit is essentially an assessment of the financial statements issued by a firm to verify their accuracy and thoroughness through a process of due diligence. Audit is almost always carried out by an external firm due to the conflict of interest of a firm auditing its own finances.

To learn more about this concept and become a master at Financial Statement modeling, you should check out our FSM Modeling Course. Learn more here. 

Module 1: Getting Started

Module 2: Fundamental Concepts

Module 3: The Income Statement

Module 4: Working Capital

Module 5: PP&E and Intangibles

Module 6: The Cash Flow Statement

Module 7: Debt & Interest Schedule

Module 8: Finishing Your Model

Module 9: Bonus

Learn More Here

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Patrick Curtis is a member of WSO Editorial Board which helps ensure the accuracy of content across top articles on Wall Street Oasis. He has experience in investment banking at Rothschild and private equity at Tailwind Capital along with an MBA from the Wharton School of Business. He is also the founder and current CEO of Wall Street Oasis This content was originally created by member WallStreetOasis.com and has evolved with the help of our mentors.