NRS 354.486
“Audit” defined.
1.
Determining the propriety and mathematical accuracy of material financial transactions;2.
Ascertaining whether financial transactions have been properly recorded;3.
Ascertaining whether the financial statements prepared from the accounting records fairly present in all material respects the financial position and the results of financial operations and cash flows of the governmental unit in accordance with generally accepted accounting principles in the United States and on a basis which is consistent with that of the preceding year;4.
Evaluating internal accounting controls over financial reporting of the handling of the public money and public property;5.
Determining whether the fiscal controls established by law and administrative regulations are being properly applied;6.
Determining whether there is any evidence that fraud or dishonesty has occurred in the handling of funds or property;7.
Determining whether the acquisition, depreciation and disposition of property and equipment are accounted for in accordance with generally accepted accounting principles in the United States; and8.
Determining whether the removal of the uncollectible accounts receivable from the records of a governmental unit is done in accordance with the procedure established by law and administrative regulations.
Source:
Section 354.486 — “Audit” defined., https://www.leg.state.nv.us/NRS/NRS-354.html#NRS354Sec486.