Auditing different types of errors

What are the major errors detected in audit reports?

Table A1 Principal errors detected in audit reports

The letterhead of the audit company is missing Title of report incorrect

Incorrect identi cation of addressees

fi Incorrect identi cation of the rm fi fi audited: use of commercial or abbreviated names

Auditor s registry number is missing or ’ incorrectly placed

What are the types of errors in accounting?

Errors Types: Errors of Principle, Errors of Omission and Commission It is very important for the accountants to locate errors and rectify them and ascertain the true financial position of an entity at the end of the respected financial year

There are errors types like errors of Principle, errors of Omission, an error of Commission, etc

Why should an auditor look for errors in financial books?

Being proficient in finding errors in the financial books of the company is one of the most important quality that an auditor must-have

If the auditor can find out the error in the books of the company, he can prove himself as a significant asset of the company

There are different types of errors that an auditor should look for in accompany

×Types of errors in auditing include:

Error of principle: When a transaction is recorded in the wrong category of account.
Error of omission: When a transaction is not recorded in the books of original entry or posted to the ledger.
Error of duplication: When a transaction is recorded twice in the books of original entry or the ledger.
Error of commission: When a transaction is recorded with the wrong amount, date, or account in the books of original entry or the ledger.
Compensating error: When two or more errors cancel out each other's effect on the financial statements.