Final answer:
The audit process increases the degree of confidence that intended users place in the financial statements.
Step-by-step explanation:
The audit process is an essential part of accounting and finance. Contrary to the statement in the question, the audit process actually increases the degree of confidence that intended users place in the financial statements. Audits are conducted by independent professionals who review the financial records and statements of an organization to ensure their accuracy and compliance with generally accepted accounting principles (GAAP) or international financial reporting standards (IFRS).
By conducting audits, companies are able to provide reliable and trustworthy financial information to their stakeholders, including investors, lenders, and government agencies. The audit process helps to identify any misstatements or errors in the financial statements, which allows for corrections and adjustments to be made.
Additionally, auditors provide an opinion on the fairness and reliability of the financial statements through an audit report. This report enhances the credibility of the financial statements and increases the degree of confidence that intended users place in them.