International company audit: main goals and objectives

The primary goal of conducting an audit examination is to standardize accounting procedures while preserving local business traditions. International Financial Reporting Standards (IFRS) facilitate an objective comparison of the operations of enterprises and organizations, which is particularly relevant for international investments.

Among the principal objectives of implementing international standards is the harmonization of business activities among countries with similar economic principles. This may lead to deeper integration into the global economy and elevate the level of auditing to a national scale.

Every audit process involves several crucial stages:

1. Preparatory Stage.
At this stage, a professional auditor assesses the scope and composition of the financial statements, negotiates the audit terms, enters into an audit engagement agreement, formulates a preliminary audit plan, and gathers necessary documents.

2. Conducting the Investigation.
During this phase, the auditor collects and evaluates the evidentiary base, which includes examining and analyzing the financial statements from the previous year. It requires scrutinizing accounting reports, financial documentation, and managerial data. Additionally, the specialist gathers information through other means such as employee interviews, observations, surveys, and inventories.

3. Formation of Conclusion.
Data containing errors undergo correction. Subsequently, the independent specialist prepares a report and formulates the final audit opinion. This opinion is then presented to the company's management and other interested parties.

It is essential to note that audit activities under international standards can only be conducted by auditing firms with appropriate licenses. The company must also comply with the following requirements:

To obtain a high-quality audit, an organization should select a firm based on these criteria. DVP Audit Company meets all these requirements and holds a license for performing audit activities. We offer auditing services according to the standards of the 'Big Four' firms, which are no longer operating in Russia.