A statutory audit is a legally mandated verification of the quality of the financial statements and documents of a corporation or government. A statutory audit is intended to determine whether an entity offers a fair and correct portrayal of its financial status by reviewing details such as bank statements, accounting reports and financial transactions. Company is regulated under the Companies Act 2013. This act requires that each corporation that is listed under the Companies Act be audited of its accounts. Therefore an audit would be regarded as a statutory audit performed by such a corporation that is regulated by company law.
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