It is a process of examining the books of accounts by the auditor along with physical verification of the inventory is known as auditing. The main objective of auditing is to determine the accuracy of the recorded transactions provided by the department. Auditing involves four main steps and they are:
- Auditing Process – The first step of auditing is to mention the role of the auditor along with stating the terms of engagement through a letter. Besides, the client should sign this term of engagement letter before the auditing process is carried out.
- Plan – This includes the departments for auditing along with the details of the deadline that the auditor needs to cover. Moreover, the audit can last for a day or sometimes even it takes a week to complete.
- Compilation – This step involves the auditor verifying the statements and findings, and compiling them into a systematic record.
- Reporting – The last step involves that the auditor reporting the result of the findings in his report.
What happens when you Audit a College Class?
Auditing a college class means that the students can audit a class with no credit. However, still, he/she needs to pay the amount for the class he/she wants to attend. Moreover, during the auditing, the students can explore the study materials but taking up any exams or completing any homework becomes optional.
Although the students might be encouraged to take active participation in a class, whether he/she wants to take it up depends upon the student. However, when the term ends for the college, the student will not receive any grade. In an auditing class, the entire decision rests upon the student and the school.
The college instructor may instruct the students to submit the class assignments or even fulfilling the course requirements. Apart from this, the student won’t receive any transcript or grade for that matter.
Sometimes, the college instructor also might expect the auditing student to take less participation in classes. This allows the instructor to spend more time with fully enrolled students.
Does auditing a Class Look Bad?
The best answer is that it depends on the admissions committee while reviewing the transcript of the specific student. One thing the students must remember is that auditing does not call for a red flag. Sometimes, when a student chooses to audit for a course, it demonstrates that the student might be interested in the first place but fell short of their major study.
Therefore, the student has taken an auditing course to search for alternative subjects without affecting their overall GPA.