Definition of auditor
A person who carries out an audit. External auditors are usually members of a body such as the Institute of Chartered Accountants. The external auditor should be independent of the company being audited and should be professionally qualified. Internal auditors are also used by companies to ensure the robustness of the internal controls. External auditors are normally appointed by the shareholders at the AGM. Their role is usually to check whether the accounts comply with the legislation and to give an opinion as to whether they show a true and fair view.
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