As auditors, I am sure we have all, at some time or another, questioned the purpose of what we are doing. As we are sitting in the cramp, mouldy smelling “meeting room” at a client site, or four coffees deep during the midnight shift back at the office, we have probably all thought, “what are we actually doing here?!” “What is our purpose?!”.
For external auditors:
The purpose of an audit is to enhance the degree of confidence of intended users in the financial statements. This is achieved by the expression of an opinion by the auditor on whether the financial statements are prepared, in all material respects, in accordance with an applicable financial reporting framework. In the case of most general purpose frameworks, that opinion is on whether the financial statements are presented fairly, in all material respects, or give a true and fair view in accordance with the framework. An audit conducted in accordance with ISAs (UK) and relevant ethical requirements enables the auditor to form that opinion.