â I nsider tradingâ refers to transactions in a companyâs securities, such as stocks or options, by corporate insiders or their associates based on information originating within the firm that would, once publicly disclosed, affect the prices of such securities.
A: A management letter is an auditor's letter addressed to the client, according to Allbusiness.com. It is a letter written by company management that confirms the accuracy of an audit. An audit is an examination and verification of a company's financial and accounting records and supporting documents presented by a professional, such as a certified public accountant.
Full Definition of AUDIT. 1. a: a formal examination of an organization's or individual's accounts or financial situation b: the final report of an audit. 2.: a methodical examination and review. See audit defined for English-language learners.See audit defined for kids. ADVERTISEMENT. to check the financial records of (a business or person) : to perform an audit on (a business or person). : to attend a course at a college or university without having to do any of the course work and without receiving credit.