any company shown in various documents of the accounting and financial accounting.The main aim of drawing up such documents is to provide users of this information (management, investors, shareholders) a complete picture of the life of the company for the adoption of certain decisions.In order for the documents arose errors and contradictions, audit the financial statements.On peculiarities of the procedure we describe in this article.
In its work, the company is faced with the need to document all the operations that were carried out by it.This allows you to always have on hand a complete information about how the moment things are going at the firm.Documenting operations in several stages.First, all operations are shown in the so-called primary stage documents - contracts, invoices, commodity checks and so on.Gradually, the information from these documents is transferred to the more general registers, and then - in the reports.Naturally, accountants - real people who are as fallible or intentionally change the data.It is to prevent errors or fraud is carried out audit of financial statements.Despite the fact that this procedure is quite expensive, there are cases where it pays for itself with a vengeance.
Audit of financial statements carried out by special staff - by independent auditors who are certified and exams.The essence of their work is to check the documentation of operations at all stages and to identify inconsistencies.As a rule, the financial statement audit is not performed on all the documents, but only for certain groups of assets or liabilities.This is due to the fact that large enterprises (especially in banking) checks alone accounts receivable may last about a week.Therefore, before testing the company's management must determine how much of the documentation will be checked.Of course, there are cases, and a full audit of the enterprise, however, such checks are extremely long and expensive.
audit of financial statements is as follows: first, the head of the company and the auditor agree on an inspection.The auditor makes a brief introduction of the enterprise, and then makes an audit plan, which is certified by the company's director.After this is done within the specified time she checked, after the completion of which the auditor provides its findings to management.The output can be positive (if no violations and no errors were found), conditional approvals (if there is a minor error and relative error does not exceed a threshold, as a rule, make up five percent) or negative (if there are seriousirregularities in the keeping of records).The auditor shall be personally responsible for the results of the inspection, and in case of acts of unfair performance of its obligations under the contract for services management company, the customer can present his claim for damages caused as a result of incorrect information.
It is also important to note that the audit of the financial statements is based on respect for principles such as the independence of the auditor (the absence of any connection between him and the leadership of the company, in addition to contractual obligations), honesty, objectivity (impartiality and a unified approach to all clients), competence(availability of special education and work experience), integrity and confidentiality (non-disclosure of information obtained as a result of checks, anyone other than the client).
