In Malaysia, annual audit is mandatory for every private limited company doing business in Malaysia, where company must appoint an approved company auditor for auditing its accounts and reporting to the members of the company annually, according to the Companies Act of Malaysia that. Statutory audit is a legally required review of the accuracy of a company’s or government’s financial records. The purpose of a statutory audit is the same as a financial audit. Aimed to determine whether an organization is providing a fair and accurate representation of its financial position, the audit involves process of examination of information such as bank balances, bookkeeping records and financial transactions.
Malaysia Audit Fees Schedule and Table
Aimed to cope with the increased compliance burden and operation cost as well as to avoid “price war” that might affect the professionalism of auditors, Malaysia Institute of Accountants (MIA) has recommended Practice Guide (RPG) 7 for Audit Fee Charge (New Audit Fee) by Audit Firm for providing auditing services in Malaysia with effect from 1 March 2010. This recommended guide serves as the basis for establishing a reasonable level of remuneration that will encourage the practitioners to maintain and up-grade the quality of services rendered.
Internal Audit Services
Internal auditing is not only about establishing compliance measurement but also involve advising the senior management and Board of Directors (or other similar oversight group) on how to better execute their roles and responsibilities. In other words, internal auditors are important to an organisation to evaluate the effectiveness of the organization and protect the organization against risk. Having internal auditors in an organization will bring a multiplicity of benefits to the management of the organization.