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audit

A systematic examination of financial statements usually by an independent chartered accountant, with the objective of expressing an opinion on the truth and fairness with which the statements present the financial position, the results of operations and on whether the statements are drawn up in accordance with the relevant law and accounting standards. The auditor"s opinion is customarily conveyed in the form of an audit report to those recipients of the financial statements for whose benefit he is appointed, usually the shareholders of a company.

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