Scope of External Audit: Dos and Don’ts for External Auditors

Getting the books of accounts audited by registered auditors in the UAE is mandatory for the companies in the mainland and some free zones. The registered auditors in Dubai, UAE, help the businesses ensure their financial statements are free from material misstatements and misrepresentation.  The role of auditors in Dubai, UAE assumes high significance in shaping the growth, credibility and reputation of a company in this respect.

However, to have a clear picture of the role of external auditors in the UAE, the businesses should understand what an auditor does and what the companies shouldn’t expect from him. To ensure compliance with the local and international regulations including the IFRS, the businesses are advised to consult with the best audit firms in Dubai. In the meantime, here is a list of Dos and Don’ts of auditing in the UAE.


Businesses engage an auditor to render an opinion on whether a company’s financial statements are represented as per the financial reporting standards. To form an opinion on the statements, the auditor gathers appropriate and sufficient evidence and observes, tests, compares and confirms until gaining reasonable assurance. The auditor then forms an opinion of whether the financial statements are free of material misstatement, whether due to fraud or error.

In addition to that, the following are some of the major tasks performed by an auditor:

  1. Carry out inquiries of management and others to understand the organisation, its operations, financial reporting, known fraud or error
  2. Assessing and understanding the internal controls
  3. Performing analytical procedures on expected or unexpected variances in account balances or classes of transactions
  4. Observing the physical inventory count
  5. Confirming accounts receivable and other accounts with a third party
  6. Examine financial & accounting records, other documents, and tangible items
  7. Look at some of the processes and procedures being carried out at the organisation
  8. Discuss the scope of the audit with the management


The following are some of the tasks that the business owners should not expect an auditor to perform, but the auditor can help the management in some cases.

  1. Analyse or reconcile accounts
  2. Locate invoices
  3. Prepare financial statements
  4. Prepare companies for audit
  5. Maintain permanent records of the clients
  6. Examine every transaction performed by the organisation
  7. Comment on the quality of directors & management to the shareholders
  8. Predict and give assurance on the future of the business

External Auditing Services in Dubai, UAE

The core function of an audit is to form an unbiased opinion on whether the information furnished in the financial statements reflect the financial position of the organisation at a given period or date. In this respect, the auditors in Dubai inquire about what the organisation owes and check whether it is properly recorded in the balance sheets. Apart from that the best auditors in Dubai also ensure whether the profits or losses are properly assessed. To have an efficient annual audit, the companies need to hire experienced and approved auditors who can perform their duties in compliance with the regulations without fail.

External Auditors – Jitendra Chartered Accountants

To ensure compliance with the regulations in a cost-effective and efficient manner, the businesses are recommended to avail the services of the best audit firms in Dubai such as Jitendra Chartered Accountants (JCA). Being one of the most experienced audit firms in Dubai, JCA has provided audit services to thousands of companies from a wide range of industry sectors. JCA has a team of highly qualified auditors in Dubai, UAE who are committed to helping the companies in the UAE to ensure that their books of accounts are free from material misstatements. JCA’s well-experienced auditors would enable the companies to reassure their stakeholders that their financial statements are free of any risks.

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