Think of it as the difference between undergoing code review versus trying to find instances of malware and hacking on a person's computer. An auditor makes su

Think of it as the difference between undergoing code review versus trying to find instances of malware and hacking on a person's computer. An auditor makes sure that when GE releases financial statements, it's the same kind of thing as when Ford releases financial statements. They're making sure that when a manager at the factory gets equipment on an installment plan that the company is going to report that as debt, rather than pretend its a rental agreement (and when it's one over the other is complicated which is why you need accountants). If investors and creditors are going to get any use out of financial statements, Ford has to prepare its financial statements in the same way and according to the same principles that GE does. In order to make sure they're doing that, someone (an auditor) has to periodically make sure they're doing that. What might show up on an audit is if the accounting department is inherently dysfunctional and not keeping proper records. What they're not going to do is figure out if someone is intentionally trying to deceive an auditor. Accountants are experts in how you're supposed to prepare financial statements so that everyone follows the same standard of what should be reported as what. But unless they're specifically forensic accountants, they're not private investigators uncovering crimes.