Audit: An Audit is a compilation of inquiries concerning financial statements and related matters such as: record keeping practices, accounting policies, business activities and decisions made by the managing body. The auditor will assess and evaluate the overall financial statement presentation as well as assessing methods and practices used in accounting. Additionally, trends and activities may be monitored and tested in the search for error or fraud. Ultimately the pursuit is to attain reasonable assurance that the financial statements of the client entity are free of material misstatement.