External Auditor

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External Auditor

An outside person who measures and reports on the state of a person's or business' finances. A common example of an external audit is an audit by the IRS, which is done to ensure that the person or business being audited has paid the appropriate amount in taxes. Often, companies hire external auditors to look at their financial states and to receive an objective assessment. See also: Internal audit, Audit.

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(1994) found that reliance by external audit on the work of internal audit resulted in fewer external audit staff hours, however more higher-level hours were utilized, with no effect on the overall external audit fee.

Voluntary Demand for Internal and External Auditing by Family Businesses

Staff separation was described as a "separate division" in which "no individual can serve on both the internal and external audit staffs."

The Effect of Internal Audit Outsourcing on Financial Analysts' Perceptions of External Auditor Independence

The results are monitored annually by both internal and external audit staffs. The receipt of corporate Forms 1099 would be superfluous.

IRS's business information return (Corporate 1099) program

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