# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Auditor's Report

Written By
Paul Tracy
Updated September 30, 2020

What is an Auditor's Report?

An auditor's report is a statement included in a company's annual financial report that certifies the validity of a company's financial statements according to an outside auditor.

How an Auditor's Report Works

By law, companies in the U.S. are required to have their financial statements reviewed by an outside auditor to ensure that they truthfully reflect the company's financial status. This review conforms to what is known as the generally accepted accounting principles (GAAP).

After having reviewed a company's financial statements, the auditor will issue an official auditor's report. This report reflects the auditor's opinion concerning the company's conformity to GAAP, in addition to the accuracy of its financial statements.

Why an Auditor's Report Matters

An auditor's report provides a qualified third-party perspective on a company's financial performance in a given year. This analysis can provide investors a more comprehensive insight into the company’s finances from an unbiased point of view.

Ask an Expert about Auditor's Report
At InvestingAnswers, all of our content is verified for accuracy by Paul Tracy and our team of certified financial experts. We pride ourselves on quality, research, and transparency, and we value your feedback. Below you'll find answers to some of the most common reader questions about Auditor's Report.
Be the first to ask a question

If you have a question about Auditor's Report, then please ask Paul.

Ask a question

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 2 million monthly readers.

If you have a question about Auditor's Report, then please ask Paul.

Ask a question Read more from Paul

Read this next

Paul Tracy - profile
Ask an Expert about Auditor's Report

By submitting this form you agree with our Privacy Policy

Share
close
Don't Know a Financial Term?
Search our library of 4,000+ terms