External auditing is an independent examination of financial statements and records of an organization, conducted by a qualified auditor who is not part of the organization. The primary goal is to provide an objective assessment of the accuracy and fairness of the financial reports, ensuring compliance with relevant laws and regulations. This process helps build trust among stakeholders, such as investors, creditors, and regulators, by verifying that the financial information presented is reliable. External auditors often provide recommendations for improving financial practices and internal controls, contributing to the overall integrity of the organization’s financial reporting.