A planned and documented activity performed by qualified personnel to determine by investigation, examination, or evaluation of objective evidence, the adequacy and compliance with established procedures, or applicable documents, and the effectiveness of implementation.

Examples of areas that may be the subject of an audit include an organization's financial situation, an individual's finances, or an organization's operations, projects, or programs.

An audit may assess the adequacy of internal controls, operational efficiency, compliance with laws, regulations, established policies and procedures, and the status and quality of a project/program.

SOURCE: microsoft project"