Legal Definitions - post audit

Definition: A post audit is an examination of the financial records of an individual or organization after a project or transaction has been completed. The purpose of a post audit is to assess the efficiency of the funds spent and to compare expected cash-flow estimates with actual cash flows.

Example: A company completes a construction project and hires an auditor to conduct a post audit. The auditor reviews the financial records of the project to determine if the funds were spent efficiently and if the actual cash flows matched the expected cash-flow estimates.

Explanation: The example illustrates how a post audit is conducted after a project has been completed. The auditor reviews the financial records to assess the efficiency of the funds spent and to compare expected cash-flow estimates with actual cash flows. This helps the company to identify any areas where they can improve their financial management in future projects.