2. an inspection of the accounting records & procedures of a business/government-agency/etc by a trained accountant – for the purpose of verifying the accuracy/completeness of the records. It may be conducted by a member of the organization (internal audit) or by an outsider (independent audit).
EXAMPLE:
since its inception, the welfare agency has been criticized for mismanaging federal money (and for allowing people to file multiple claims). The General Accounting Office, an agency of the federal government, agrees to conduct an audit to determine if these allegations are true; and to trace where the money had been spent.see audit of return.
