RELATIONSHIP OF AUDITING WITH OTHER DISCIPLINE

·         RELATIONSHIP OF AUDITING WITH OTHER DISCIPLINE
CONTEMPORARY AUDITING
AUDITING AND ASSURANCE

·         AUDITING AND ACCOUNTING

I.        ARE CLOSELY RELATED WITH EACH OTHER AS  AUDITING REVIEWS THE FINANCIAL STATEMENTS

II.        AUDITING BEGINS WHEN ACCOUNTING ENDS

III.        THE AUDITOR MUST HAVE THROUGH KNOWLEDGE OF GENERALLY ACCEPTED PRINCIPLES OF ACCOUNTING BEFORE REVIEWING THE FINANCIAL STATEMENTS

·         AUDITING AND LAW

I.        IF THE ENTITY AUDITED IS GOVERNED BY LAWS,THEN THE AUDITOR SHOULD BE AWARE OF THE LAW WHICH ARE APPLICABLE

II.        HE SHOULD BE WELL VERSED WITH THE LAWS WHICH ARE APPLICABLE LIKE NEGOTIABLE INSTRUMENTS, LAW OF CONTRACTS ETC

III.        MUST HAVE THROUGH KNOWLEDGE OF VARIOUS TAX LAWS

·         AUDITING AND BEHAVIORAL SCIENCE

I.        WHILE PERFORMING AUDITING HE HAS TO INTERACT WITH LOTS OF PEOPLE

II.        MANAGEMENT AUDITOR IS EXPECTED TO DEAL WITH HUMAN BEINGS RATHER THAN FINANCIAL FIGURES

III.        ONE OF THE BASIC ELEMENTS IN DESIGNING THE INTERNAL CONTROL SYSTEM IS PERSONNEL

IV.        THE WORKING OF INTERNAL CONTROL DEPENDS UPON THE COMPETENCY AND HONESTY OF THE EMPLOYEES

·         AUDITING AND STATISTICS AND MATHEMATICS

I.        EXAMINE THE TRANSACTIONS ON TEST CHECKING BASIS

II.        AUDITOR IS EXPECTED TO HAVE KNOWLEDGE OF STATISTICAL SAMPLING

III.        THE KNOWLEDGE OF MATHEMATICS IS ALSO REQUIRED ON THE PART OF THE AUDITOR AT THE TIME OF VERIFICATION OF INVENTORIES

·         AUDITING AND DATA PROCESSING

I.        TO CARRY OUT AUDIT IN COMPUTERIZED ENVIRONMENT,THE AUDITOR SHOULD HAVE GOOD KNOWLEDGE OF THE COMPONENTS

II.        EDP AUDITING IS DEVELOPING AS A DISCIPLINE

·         AUDITING AND FINANCIAL MANAGEMENT

I.        CLOSELY RELATED WITH FUNCTIONAL FIELDS SUCH AS FINANCE,PRODUCTION,MARKETING,PERSONNEL AND OTHER GENERAL AREAS OF BUSINESS MANAGEMENT

II.        THE AUDITOR IS EXPECTED TO HAVE KNOWLEDGE ABOUT VARIOUS FINANCIAL TECHNIQUES SUCH AS WORKING CAPITAL MANAGEMENT,FUND FLOW,,RATIO ANALYSIS,CAPITAL BUDGETING

III.        THE KNOWLEDGE OF VARIOUS INSTITUTIONS AND GOVERNMENT ACTIVITIES THAT INFLUENCE THE OPERATIONS OF THE FINANCIAL MARKETS

·         AUDITING AND PRODUCTION

I.        THE KNOWLEDGE OF PRODUCTION PROCESS BECOMES ESSENTIAL IN CASE OF INTERNAL AUDITOR. HE SHOULD ALSO REQUIRED TO HAVE KNOWLEDGE OF THE COST SYSTEM AND ITS ADEQUACY

II.        ALSO HAVE KNOWLEDGE OF THE TERMINOLOGY OF THE PRODUCTION