Audit
A systematic review or examination of the assertions or actions of a third party to evaluate conformance to some norm or benchmark.

Net Income
Gross income less expenses; it represents a business's profit for a given year.

Blue Book
This is the term commonly used to describe the Government Finance Officers Association publication Governmental Accounting, Auditing and Financial Reporting. Initially, the blue book was the authoritative source for GAAP for state and local governments.

Bad Debt
Money owed for a business debt that cannot be collected

Ledger
A physical collection of related financial information, such as revenues, expenditures, accounts receivable, and accounts payable.

Double-Entry Accounting
A system of accounting that records each business transaction twice.

Accounts Receivable
Amounts owed to a business that the business expects to receive.

Accounting
term that refers to the overall process of tracking your business's income and expenses, and then using these numbers in various calculations and formulas to answer specific questions about the financial and tax status of the business.

Compliance Audits
Compliance audits are internal or external audits performed to evaluate whether systems or processes are designed and operating effectively to ensure compliance with pertinent laws, rules, regulations, and internal policies and procedures

Accrual Method Of Accounting
In the context of a financial audit, audit findings represent weaknesses or deficiencies in internal controls, or instances of noncompliance with applicable laws and regulations, that are presented in an audit report.