Audit of activity, i.e. the systematic analysis of economic activity of the organization which is carried out for definite purposes is quite close to administrative audit. This type of audit is called sometimes audit of overall performance or administrative management and the organization. At audit of activity are assumed objective and the comprehensive analysis of certain kinds of activity.
And still practice of audit in the countries with the developed market economy is really very extensive, and the tasks facing the auditor – are powerful and considerable. It can be seen in one of the most applied western (SSh of definitions audita1:
Modern audit began the rapid development approximately with the second half of the XIX century together with rapid development joint-stock companies of a form of the capital, adequate large-scale industry. To agriculture and trade. It happened owing to those objective circumstances that in new conditions the system of the relations of the investor with hired administration of joint-stock companies underwent essential, basic changes:
Certain functions of internal auditors carry out groups at accounts departments of the large enterprises, to the chief accountant or the finance director, however functions of internal auditors wider and include:
Internal audit is the integral and important element of administrative control. The need for internal audit at the large enterprises because the top link of the management is not engaged in daily control of activity of the organization and the lowest administrative structures. Internal audit gives information on this activity and confirms a of reports of managers. Need for internal audit is caused:
His faultless honesty and independence were the main requirements imposed to the auditor. The knowledge of accounting had at first no special value, however with accounting complication good vocational training of the auditor becomes a necessary condition also.
Let's use material of Provisional rules and we investigate the main objectives of audit in a control system of economic subjects. Let's prove the corresponding treatment of separate elements of the definition of essence of audit given above as element of infrastructure of market economy in relation to the relevant articles of Provisional rules:
Initial audit is booked by the auditor (auditor firm) for the first time for this client. It significantly risk and labor input of audit as auditors have no necessary information on features of activity of the client, his system of internal control, etc.
the system focused audit (auditor examination on the basis of the analysis of system of internal control. It is proved that at effective system of internal control the probability of mistakes is insignificant and need for too detailed check ; in the presence of inefficient system of internal control to the client recommendations about its improvement are made);