| Abstract [eng] |
The recent changes of the global scale caused by the development of business and an excessive use of subjective decisions and estimates when drawing up financial statements have caused an increased pressure that may lead to fraudulent financial reporting. Audit firms are obligated to express an independent opinion on the truthfulness and fairness of the information presented in financial statements to enable the users to take informed economic decisions. Therefore, it is important to further improve the audit methodology including the audit risk assessment to accommodate it to the ever changing business environment and enable to detect, on a timely basis, any material misstatements in financial statements. Although recent researches extend the concept of audit risk and the process of the assessment thereof, but do not present any more comprehensive audit risk assessment analysis. The audit risk assessment model and the methodology for the quantitative evaluation of audit risk components proposed in the dissertation apply the systemic approach towards the audit risk assessment. The novelty of the approach is disclosed by its following features: 1) the audit risk assessment is related not only to the examination of individual audit risk components, but also to the general evaluation of the probability of the conditions (factors) causing the appearance thereof and the impact of their effect; 2) identified the correlation between the individual audit risk components; 3) the audit risk assessment is related to the audit process as such. These results may be used by audit firms in their practical work irrespective of the size and the nature of activity of the audited entity. |
