Term of the Day - audit
For Tuesday, December 23, 2008
Term of the Day - audit
An examination and verification of a company's financial and accounting records and supporting documents by a professional, such as a Certified Public Accountant.
An audit is an IRS examination of an individual or corporation's tax return, to verify its accuracy. There are three types of audits: correspondence audits (the IRS mails a request for additional information), office audits (an interview is conducted at a local IRS office), and field audits (an interview is conducted at a taxpayer's place of business, for a corporate tax return). Since there is always the chance of an audit, experts recommend keeping good records to support all the information in a return. The reason detailed and accurate bookkeeping is so important is that the burden of proof is on the filer, not the IRS.
Featured Article from InvestorGuide University
What information should you consider before investing in international stocks? Learn about the different kinds of international stocks, how to buy them, and how to weigh the pros and cons of risk and diversification.
Special Offers
ACM
Trading Currencies Can Be Easy As 1, 2, 3. Try a Free Practice Account Today.
Click Here to View This Offer...
E*TRADE
99¢ Futures Trades for your first 90 days, $2.99 thereafter at E*TRADE Securities
Click Here to View This Offer... 
FX Solutions
Trade Forex with the most advanced charting and platform. Register now for a FREE $10K practice account!
Click Here to View This Offer...
Barron's Online
Subscribe to Barron's and get investing insights before others do. Plus, 4 weeks free!
Click Here to View This Offer...
Quote of the Day
Not he who has little, but he who wishes more, is poor. - Seneca
Search for a term in our comprehensive investing dictionary
More links to important investing resources
- Business Dictionary
- InvestorGuide Stock Research
- Our Other Newsletters
BusinessDictionary.com features over 20,000 definitions and over 115,000 links between related terms providing a clear and concise description of any and all business terms.
Our powerful, comprehensive stock research tool covers thousands of tickers. It provides everything you need to know about a stock including charts, news, profile, earnings data, analysis and much more. Try it Today!
The InvestorGuide Daily summarizes important financial news and commentary of the day, and the InvestorGuide Stock of the Day provides comprehensive research and information about a stock that is making news in the markets.