Internal auditors are accountants employed to make certain that companies and their employees follow company policies, company procedures, and most importantly, state and federal laws. Internal auditors usually prepare written reports that are submitted to senior management, generally on a monthly basis unless immediate attention is required. Internal auditors are expected to identify problems and correct them before they are discovered by regulatory agencies or others outside the company.

Companies that are not large enough to justify the cost of a full-time internal auditor, will sometimes hire an outside consultant to perform the duties of an internal auditor.

Managerial Accounting

Protecting Your Business from Fraud and Embezzlement