Final answer:
Internal financial reporting assurance services and external financial reporting assurance services differ in terms of their intended audience, scope, and purpose.
Step-by-step explanation:
Internal financial reporting assurance services and external financial reporting assurance services differ in terms of their intended audience, scope, and purpose.
Internal financial reporting assurance services are provided by an organization's internal auditors or accountants. They involve reviewing the company's financial statements and records to ensure accuracy and compliance with accounting standards. The primary objective of internal financial reporting assurance services is to provide management with reliable financial information for decision-making purposes.
On the other hand, external financial reporting assurance services are provided by independent external auditors. They involve conducting an audit of an organization's financial statements and expressing an opinion on their fairness and compliance with accounting principles. The primary objective of external financial reporting assurance services is to provide credibility and assurance to external stakeholders such as investors, lenders, and regulators.