Scientific journal
European Student Scientific Journal
ISSN 2310-3094
ISSN 2310-3094
FEATURES OF CALCULATION AUDIT MATERIALITY
155 KB
Russian standard number 4, «Audit Materiality» does not establish a clear procedure for determining the level of importance and involves an arbitrary choice of the method of calculating the level of materiality . All this is asserted in-house auditing standards established by the audit firm itself . It is one of the most important problems of conducting audit activities and calculating the level of importance, because results established by different methods , and set different levels of importance in several auditing organizations for the same auditee may be misleading, mainly users of financial statements of the organization. In finding the absolute value of the materiality level the auditor should be based on the most important indicators of the accuracy of the statements of the economic entity to be audited , hereinafter referred to as a baseline of financial statements. The article reflects some of the most important problems of calculating the level of importance, as well as options for their solutions. All calculations are made on the basis of financial statements a specific enterprise.
audit
materiality
materiality level
the audit risk