Differentiate between Continuous Audit and Interim Audit.

Difference between Continuous Audit and Interim Audit are.

Continuous Audit.

  • Work of audit is carried on for the whole of the financial year according to the convenience of the auditor.
  • The main object of continuous audit is to find and detect trends and errors.
  • Continuous audits causes inconvenience to the staff during the course of audit.
  • In continuous audit the auditor is appointed by the owners/shareholders.
  • Continuous audit is expensive as compared to interim audit.
  • The auditor reports at the close of the financial year when audit is complete.

Interim Audit.

  • Work of interim audit is done for a part of the year therefor the last balance sheet to the interim accounting period.
  • The main object of interim audit is to facilitate payment of interim dividend or for same other particular purpose. Interim audit does not cause such inconvenience
  • In case of interim audit he auditor is appointed by the management.
  • It is less expensive as compared to continuous audit.
  • Audit report is submitted by the auditor at the close of the audit.

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