The-definition.com

Definition

Continuous audit

 A continuous audit or a detailed audit, as it is sometimes called, is an audit which involves a detailed examination of the books of account at regular intervals of say one month or three months.

The auditor visits his clients at regular or irregular intervals during the financial year and checks each and every transaction. At the end of the year he checks the remaining transactions which have not been checked, the profit and loss account and the balance-sheet.

Share it:  Cite

More from this Section

  • Cost center
    A cost center refers to a responsibility center that incurs costs (and expenses) but does ...
  • Production budget
    Production budget is a projection of the units that must be produced to meet anticipated ...
  • Prepaid expenses
    Prepaid expenses or prepayments are companies record payments of expenses that will benefit ...
  • Present value
    The amount that must be invested today at a given rate of interest over a specified time ...
  • Debit
    Debit is an entry that records an increase in assets, a decrease in liabilities, or a ...