Audit is a process of accountability where all documents are being examine by a professional team of auditors. They check and inspect all business segments with a motive to avoid any loss or damage, eradicate the fraudulent activities and make a transparent system. They used a report where they write all their findings is call Audit Report. Audit report holds significance importance for any business. It is a formal opinion issued by either internal auditor or external auditor as a result of an internal or external audit. It is considered as an essential tool when reporting financial information to users, particularly in business. Audit report evaluates the validity and reliability of a company or organization’s statements. The main purpose of an audit report is ultimately to document reasonable assurance that a company’s financial statements are free from any material error. In this report auditor should give a true picture of the company and their financial statements. An auditor’s report is ultimately intended to provide reasonable assurance that there are no material errors within an organization’s financial statements.