The objective of audits conducted by Certified Public Accountant(CPA、公認会計士) is to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an independent auditor's report to stakeholders. Audits performed by CPA are required under the Financial Instruments and Exchange Act (FIEA、金融商品取引法), the Companies Act（会社法） and other acts and regulations in specific areas.

  Audits performed by CPA / Audit Corporation must be in accordance with the Auditing standards generally accepted in Japan (Japanese GAAS).

 － Auditing Standards issued by the Business Accounting Council (BAC、企業会計審議会), an advisory body established within the Financial Services Agency (FSA、金融庁)  are as follows.

（The Auditing Standards）

The Auditing Standards stipulate principles and key concepts in regard to the financial statement audit.

（Standard to Address Risks of Fraud in an Audit）

The standard is only applicable to the publicly traded companies and the unlisted companies exceeding certain size under the Financial Instruments and Exchange Act.

（The Standard on Quality Control for Audits）

The Standard on Quality Control for Audits is required to be applied together with the Auditing Standards.

－Auditing Standards Committee Statements (ASCSs) and a Quality Control Standards Committee Statement (QCSCS) issued by the Japanese Institute of Certified Public Accountants (JICPA).

  The JICPA is responsible for developing detailed requirements to implement Auditing Standards issued by the BAC in practice. These requirements, together with relevant application materials, are included in the ASCSs and QCSCS 1.The ASCSs and QCSCS 1 are developed based on Auditing Standards issued by the BAC, and to converge with the clarified International Standards of Auditing (ISAs) and the International Standard on Quality Control 1 (ISQC 1) issued by the International Auditing and Assurance Standards Board (IAASB).

・Audit under the Financial Instruments and Exchange Act（金融商品取引法に基づく監査）

・Audit under the Companies Act（会社法監査）

－ a company with capital stock of 500 million yen or more, or total liabilities of 20 billion yen or more as of the latest fiscal year-end

－ a company that adopts a "Company with Committees" corporate governance system

－ a company which appoints external auditors on a voluntary basis

・Social Welfare service corporation Audit（社会福祉法人の監査）

・Medical corporation Audit（医療法人の監査）

・Incorporated Administrative Agency Audit（独立行政法人の監査）

・Local governments Audit（地方公共団体の包括外部監査）

・Incorporated Educational Institution Audit（学校法人の監査）

・Credit Union / Workers’ Credit Union Audit（信用金庫、信用組合の監査）

・Labor Union Audit（労働組合の監査）

・Investment Limited Partnership (LPS) Audit（投資事業有限責任組合の監査）

・Special Purpose Company (SPC) Audit（特定目的会社の監査）

・Financial Statement Audits of Companies to which Statutory Audits are not legally required

・Audit of a subsidiary in Japan requested by a foreign parent 

・Audit substantially in accordance with the Financial Instruments and Exchange Act in the process of Public Offering

・Audit of Financial Statements under Special Purpose Framework

・Audits of Single Financial Statements and Specific Elements, Accounts or Items of a Financial Statement