Why internal audit & why not statutory audit..?

Question

Accepted Answer

Internal audit provides a more comprehensive view of the organization's operations and helps identify areas for improvement.

Internal audit focuses on evaluating and improving the effectiveness of an organization's risk management, control, and governance processes.
Statutory audit is a legal requirement and focuses on ensuring compliance with applicable laws and regulations.
Internal audit provides valuable insights into the organization's operations and helps identify areas for improvement, whereas statutory audit is more focused on compliance.
Internal audit can help identify potential risks and opportunities for improvement in areas such as financial reporting, operations, and compliance.
For example, an internal audit of a manufacturing company may identify opportunities to streamline production processes and reduce costs, while a statutory audit would focus on ensuring compliance with accounting standards and tax regulations.

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