An audit is a systematic and independent examination of books, accounts, statutory records, documents and vouchers of an organization to make sure how far the financial statements as well as non-financial disclosures present a true and fair view of the concern.
Under the section 183(3) of the company Act 1994:Company Audit means “The balance sheet and profit and loss account or income or expenditure account, cashflow statement of a company shall be caused to be auditedby the auditor of the company as in the companies act provided. and the auditors report shall be attached there to and the report shall be read before the company in General meeting”.