What is auditors independence.

This query is : Resolved

akshay (Querist)
Follow

12 November 2013 Sir, I just wanted to know the exact meaning of auditors independence, just explain the simple logic of auditor independence, badly need the answer, ASAP

Ajay Mishra

Ajay Mishra (Expert)
Follow

12 November 2013 Independent auditor means an auditor who is going to audit of the company is not concern or related with that company or entity.

Because, if he is not Independent then his Audit Report will be bias and it will not be reliable for other.

So he will give the declaration about Independence.

So now Audit Report will named as Independent Audit Report.