Audit of enterprise loans and borrowings. Audit of settlements with banks on loans

Audit of calculations for taxes and fees

In the system of settlement relationships of organizations, monetary settlement relations with the budget and off-budget funds occupy a special place.

Rational organization of control over the state of settlements with the budget contributes to compliance with payment discipline and improvement of the financial condition of the organization.

The purpose of auditing settlements with the budget– confirmation of authenticity financial statements being checked legal entity, regarding the reflection of debt to the budget for taxes and fees, as well as reflection in explanatory note all significant circumstances related to unresolved issues in taxation.

During the control and audit check, the auditor must check:

‣‣‣whether the taxable bases are calculated correctly;

‣‣‣are tax and payment rates applied correctly;

‣‣‣ whether payments to the budget are made on time and in full;

‣‣‣ are the benefits applied correctly and justifiably;

‣‣‣is analytical and synthetic accounting carried out correctly for account 68 “Calculations for taxes and fees”;

‣‣‣ do the analytical and synthetic accounting records correspond to the records in the general ledger and balance sheet of the organization.

To check the correctness of the organization analytical accounting When making calculations with the budget, it is extremely important to clarify the correctness of the derivation of turnover and balance for each type of tax at the end of the reporting period.

In the balance sheet, debts on account 68 should be reflected in the amounts agreed upon with tax authorities, for which mutual calculations are verified. It is extremely important to compare analytical accounting data for each tax with entries in the register synthetic accounting and the General Ledger for account 68. The timeliness and completeness of settlements with the budget is established by checking the bank statements and the primary payment documents attached to them.

During the audit of calculations for taxes and fees, auditors are guided by the Tax Code of the Russian Federation. For this reason, control and audit of these calculations are aimed, first of all, at identifying their compliance with those chapters, articles and norms of the Tax Code of the Russian Federation that govern tax relations for the collection of appropriate taxes and fees.

In the conditions of market transformations taking place in the economy, the role of loans and borrowings as an additional source of financing the activities of organizations has increased significantly.

The task of control over credit operations includes identifying the validity and conditions for attracting borrowed money, compliance with the established procedure for planning, receiving, using and repaying short-term and long-term loans and borrowings, as well as determining the effectiveness of their attraction.

Additional sources of information checks for accounting of credit transactions are:

Information and certificates provided to bank institutions to obtain a loan;

Bank statements;

Copies of agreements in support of credited transactions and additional agreements to them;

Loan and pledge agreements;

Documents confirming the intended use of the loan or credit.

The auditor must pay attention to the form in which the loan was taken - in the form of money or things. The auditor must ensure the correctness of:

‣‣‣drawing up and concluding a loan agreement;

‣‣‣organizations accounting of these transactions in the accounts: 66 “Settlements for short-term credits and borrowings”, 67 “Settlements for long-term credits and borrowings”, and Special attention is given to organizing analytical accounting of these transactions by lender and repayment period;

‣‣‣complete receipt and compliance with the intended use of loans;

‣‣‣ accounting for loan repayment through sale valuable papers at prices exceeding their cost, reflecting in the accounting of %% accepted for payment for the use of the loan;

‣‣‣ reflected in the accounting of exchange rate differences on loans provided in foreign currency;

‣‣‣reflections in the accounting of loans by areas of their use;

‣‣‣ accounting for a loan received against an issued bill of exchange;

‣‣‣timely repayment of loans, by comparing the date of payments own funds in payment or bank statements with established deadlines their repayment.

When checking loans, it is extremely important to identify the validity and conditions for attracting these funds for each lender, for which purpose loan agreements and records on the relevant accounts are subject to control examination.

The rules for issuing loans are developed by creditor organizations, and the loan is issued on the basis of a concluded bilateral loan agreement. The auditor needs to check:

‣‣‣ confirmation of the intended use of the loan;

‣‣‣ timeliness and completeness of repayment,

‣‣‣ the correctness and legality of attributing accrued and paid %% to the appropriate cost accounts or sources of their coverage;

‣‣‣reliability of balances, non-repaid loans;

‣‣‣security for the loan or the existence of provided guarantees for timely non-repayment of loan amounts;

‣‣‣ objectivity of the reasons for violation of loan repayment deadlines.

When checking the issues of obtaining and using loans, the auditor must assess the effectiveness of the invested funds for the activities for which they were intended; Which economic effect received by the organization as a whole from their use, or vice versa, calculate the losses that the organization may incur in the event of misuse of the loan or untimely repayment to the creditor, as well as analyze the sources of covering the unreturned amounts of creditors and report them.

Audit of settlements on loans and borrowings - concept and types. Classification and features of the category “Audit of settlements on loans and borrowings” 2017, 2018.

12. Audit of funds. With regard to money, checking the legislation includes checking compliance with two main laws - on the use of cash register equipment (CCT) and on combating the legalization of illegally obtained income. First, the internal control system is assessed. Then, checking compliance with the law on CCP is the responsibility of the authorities tax control. There are two main types of distortion in cash flow: 1. the amount in the reporting is overestimated compared to the real one (an accounting error or funds were actually misappropriated, stolen, etc.); 2. the amount in the reporting is underestimated compared to the real one (an accounting error or there are unaccounted funds). Control of financial statements consists of several parts: 1) verification of cash transactions in cash:2) checking cash flow transactions; 3) checking data on cash balances at the end of the year; 2) checking transactions with non-cash funds. Checking cash transactions for reporting period involves studying the fact that: 1) all transactions reflected in the accounting actually took place (the “occurrence” prerequisite); 2) all transactions that actually took place are reflected in the accounting (the completeness prerequisite); 3) the amounts and other identifying characteristics are correctly reflected ( to whom, for what, when, etc.). Inventory cash. According to inventory acts for the reporting year. A cash register audit is carried out with a complete page-by-sheet recalculation of cash and checking other valuables in the cash register. When calculating the actual presence of banknotes and other valuables in the cash register, cash, securities and monetary documents(postage stamps, stamps state duty, bill stamps, vouchers to holiday homes and sanatoriums, air tickets, etc.). The auditor may conduct a surprise check, ask the cashier to show the latest cash orders. Checking transactions with non-cash funds. The most reliable verification method is to receive from the bank an original confirmation of the balance on the current account as of the reporting date indicating the turnover on the account for the reporting year. The data is verified with the accounting records, and the bank’s confirmation is filed with the audit materials. It is necessary to request information about all banks in which the organization has accounts. If necessary and possible, check this data with the data of the tax authority.

13. Audit of fixed assets. In accounting for fixed assets, there are two main types of distortions: 1) the amount in the reporting is overestimated compared to the real one (an error in accounting or fixed assets are lost - destroyed, stolen, etc.); 2) the amount in the reporting is underestimated compared to the real one ( there is an accounting error or there are unaccounted fixed assets) First, an assessment of the internal control system is carried out. Then Control of compliance with legislation: 1) transfer of a fixed asset by a state organization/institution without the consent of the owner (superior organization); 2) sale of a fixed asset commercial organization without going through the approval procedure for a major transaction; 3) use of the organization’s fixed assets in the personal interests of the official. 4) agreement on the terms of the lease agreement, which is certified by the signature of the relevant official and the seal of this body; 5) signing an agreement on the transfer of real estate. Reasons for concealing fixed assets and not reflecting them: 1) objects were acquired/built using “shadow turnover” funds, which cannot be taken into account in official accounting; 2) expenses for the acquisition/construction of objects are written off from funding sources. Control of financial statements: 1) verification of transactions of receipt of fixed assets; 2) verification of transactions written off from the balance sheet of fixed assets; 3) checking data on the value of fixed assets at the end of the year. A formal check of the consistency of accounting data and reporting data does not produce any discrepancies; it is necessary to conduct a repeated sample inventory. When identifying objects that have not been registered, objects for which there is no data or incorrect data is indicated, the commission must include in the inventory the correct information and technical indicators for these objects. The most common case is 1) writing off expenses as current expenses for repairs, although in reality an item of fixed assets is being created. 2) an object of fixed assets was left as an “inheritance” by the former landowner, it was extremely difficult to obtain official documents on ownership of this object; 3) the object was received by transfer from balance sheet to balance sheet, and the documents have not yet been received by the accounting department, although acts of receipt of the object were signed by the receiving party side.

14. Audit of inventories. The group of material inventories includes various categories of assets: raw materials, goods, finished products, semi-finished products. Risk areas are: 1. overstocking of warehouses, 2. overstatement of the value of inventories in accounting compared to the market value; 3. the value in the reporting is underestimated compared to the real one. Assessing the internal control system 1. Discuss how risks associated with accounting for inventories are assessed, whether inventory standards have been established; is there a procurement budget; is there a document establishing the procedure for collecting information about stale reserves, and the procedure for making decisions regarding such reserves; whether and how procurement prices are controlled, which prevents managers from receiving unofficial “bonuses” from suppliers; 2. Ask to provide documents confirming the control activities to reduce the above risks, for example, the results of an analysis of the availability of unclaimed reserves and the reasons for not being in demand. 3. Ask for documents confirming management's analysis of the main trends in the movement of materials. Monitoring compliance with legislation. Checking compliance with the law in this area may concern the following issues: correct application of VAT offset on purchased inventory items; actions of officials when organizing procurement in the interests of the organization, and not in their own; compliance by budgetary organizations with procurement legislation for state needs. Control of financial statements. Checking the reflection of inventories in the reporting - all transactions with inventories reflected in the accounting actually took place (precondition for occurrence); all transactions that actually took place are reflected in accounting (prerequisite for completeness); reserves are reflected in accounting at an estimate not exceeding them market value(prerequisite for accurate measurement). Performance monitoring. violations are: lack of a procurement plan or budget; lack of standards for raw material reserves, including insurance and seasonal reserves; lack of analysis of purchasing efficiency (for example, which of the options is more profitable: 1) buy a large batch of raw materials cheaper, and then store excess raw materials or look for a buyer for them, or 2) buy the right amount of raw materials at once, but more expensive); lack of a budget for warehouse costs; presence of stale, unnecessary stocks, etc.

17. Revision accounts receivable. The main risk associated with the formation of accounts receivable is the reflection of the debt of insolvent debtors. Assessment of the internal control system1. Find out from the management of the organization being audited what its policy is regarding customer debt.2. Discuss with representatives of the organization: do they know what percentage of debtors confirmed their debt as of the reporting date; how they assess the risks of having debts from insolvent debtors in the financial statements, 3. Ask for documents establishing the obligation of any official to study the solvency of the debtor.4. Ask to provide documents confirming the study of the solvency of two or three debtors. Compliance Monitoring: Compliance Checks civil law, including the correct definition of the deadline limitation period on accounts receivable; the correctness of the classification of the situation when notifying the bailiff about the impossibility of foreclosure on the debtor’s property; the correctness of taxation of transactions under agreements for the assignment of receivables, the formation of tax expenses when creating a reserve for doubtful debts, etc. Control of financial reporting: all debts of debtors reflected in the accounting actually exist (prerequisite for existence); all debts of debtors that actually exist are reflected in accounting (prerequisite for completeness). Performance monitoring: 1) ask for an analysis by the organization’s employees of the terms of deferred payment for products provided by main competitors, and the terms of deferment to the organization’s customers; 2) study what measures to the organization undertakes to stimulate prompt payment by customers; 3) study whether the organization has a repayment plan for receivables and how its implementation is monitored; 4) analyze the ratio of the organization's receivables and payables; whether funds were sent bank loans to finance receivables from customers.

18. Audit of loan debt. The highest risk ones are: getting a loan for actual financing of affiliates of the organization, and not its activities; obtaining a loan at inflated rates in order to transfer capital to the bank; obtaining a loan without necessity, i.e. inefficient use of funds to pay interest. Assessment of the internal control system:1. Ask your accountant to provide data on the largest loans for the reporting year. From loan agreements, determine loan terms, objectives and interest rates.2. Examine the collateral issued for the loans received.3. Ask an accountant to prepare data on how the principal amount of the loan will be spent. Assess the general criteria for the feasibility of attracting loans.4. If suspicious credit transactions are identified, discuss this situation with the management of the organization being audited.5. Find out who initiated the loan on these terms, whether alternative lending options were considered, who made the final decision on choosing a bank and loan terms, and in what documents this is reflected.6. Determine who makes decisions about the use of credit, who gives instructions on payment using credit resources, and in which document this decision is recorded. Monitoring compliance with legislation: A special place in checking accounts payable is occupied by checking the safety of the issued collateral, for example, property pledged as collateral for a loan. The main types of credit collateral are surety, guarantee, pledge of securities, goods, and other property. Control of financial statements: all debts reflected in the accounting actually exist (prerequisite for existence"); all debts that actually exist are reflected in the accounting (prerequisite for completeness). Verification that all debts reflected in the accounting actually exist is carried out by studying the reconciliation reports with the bank prepared by the organization. Performance control: The auditor must check the duration of the loan in the organization's current account. Every day the loan is “idle” entails losses for the organization in the form of paying interest on the use of the loan. In some cases, the loan (or most of it) remains in the current account of the recipient organization all the time, and is then returned to the bank with interest. In this situation, this transaction may hide the actual “donated” amount of interest to the bank, which may be payment for another completed transaction.

In many cases, a loan is not only a source of financing the organization’s activities, but also a mechanism for transferring capital and modeling the required financial result. The highest risk ones are:

Obtaining a loan for the actual financing of affiliated persons of the organization, and not its activities;

Obtaining a loan at inflated rates in order to transfer capital to the bank;

Obtaining a loan without necessity, i.e. ineffective use of funds to pay interest.

More complex are cases of processing another transaction under the guise of a loan:

Obtaining loans against low percentage from foreign companies that are not legally connected (for example, not a subsidiary or parent company) with the audited organization, especially if such companies are located in offshore zones; a real deal could be the transfer of previously “offshored” funds of the same owner to finance a project in Russia;

Obtaining large loans at low interest rates from individuals, including the founders of the organization; the real deal is an increase in the organization’s capital; including possibly through “shadow circulation” funds.

The auditor must evaluate the main areas of use of borrowed funds. The following operations may raise suspicion:

Directing borrowed funds to issue interest-free or low-interest loans to legal entities and individuals;

Purchase with borrowed funds of long-term bills, bonds issued by organizations unknown in the financial market;

Issuance of advances using borrowed funds for the supply of materials or other valuables to first-time invited suppliers or contractors upon long term waiting for delivery or completion of work.

Assessment of the internal control system

1.Ask your accountant to provide data on the most large loans for the reporting year. From loan agreements, determine loan terms, goals and interest rates.

2. Examine the collateral issued for the loans received.

3.Ask your accountant to prepare data on how the principal amount of the loan will be spent. Assess the general criteria for the feasibility of attracting loans.

4.If suspicious credit operations Discuss this situation with the management of the organization being audited.

5. Find out who initiated the loan on these terms, whether alternative lending options were considered, who made the final decision on choosing a bank and loan terms, and in what documents this is reflected.

6. Determine who makes decisions on the use of credit, who gives instructions about payment using credit resources, and in which document this decision is recorded.

Illustration. If an organization has opened a special settlement account where only loan funds are received, the expenditure of which can be easily verified, confidence in the reporting of this organization is higher.

When checking, a special place is occupied by issues of the intended use of the loan. Currently, the intended purpose of the loan is not always clearly indicated in the text of the loan agreement. Formulations “for replenishment working capital", "for current needs", etc. allow you to use the loan in any direction.

If the purpose of the loan is clearly stated in the agreement, the auditor must check its intended use.

The main problem during the audit is the distinction between the concepts of “distraction” and “use”, which is interpreted ambiguously even judicial authorities.

For example, an organization received targeted loan for the purchase of equipment, but with this money I bought raw materials. At the same time, the organization refuses to admit the fact of misuse, arguing its refusal by the fact that it only diverted the loan funds: it will be made from raw materials finished products, it will be sold, i.e. the money will be returned and used for its intended purpose.

A similar situation arises with the placement of targeted loan funds temporarily on bank deposits, in bank bills, etc.

The difficulty of verifying the intended use of the loan creates a large number of settlement accounts of the organization, while money is constantly transferred from account to account, if at the same time there are significant inflows of funds from other non-credit transactions, the loan funds “dissolve” and it is almost impossible to track their use.

Monitoring compliance with legislation

A special place in checking accounts payable is occupied by checking the safety of the issued security, for example, property pledged as security for a loan. The main types of credit collateral are surety, guarantee, pledge of securities, goods, and other property.

As a rule, there is a link to the pledge agreement in the text of the loan agreement, but the pledge agreement itself is drawn up separately.

The auditor must consider the quality of the collateral. It is possible when, in order to cover up an asset withdrawal transaction, a significant fixed asset is pledged as collateral for a loan, while non-repayment of the loan is planned in advance. In this case, the transaction appears to be in compliance with the law.

The auditor must find out whether the collateral is essential to the business of the organization being audited. For example, a plant can secure all its cars or one new production line as collateral for a loan. It is clear that the loss of tires can be compensated by renting others, but the loss of a production line will significantly reduce production volumes.

When inspecting state enterprises and institutions, the auditor must check for the owner’s consent to encumber the property of the inspected organization with a pledge.

The auditor must also evaluate the established value of the collateral - as a rule, with the involvement of an expert appraiser.

The auditor must check the reflection of information about the pledge of property on off-balance sheet account 009 “Securities for obligations and payments issued,” as well as the fact of disclosure of this information in the notes to the financial statements.

The auditor must inspect the item of pledge, make sure that its characteristics correspond to those specified in the pledge agreement (in terms of completeness, quantity, weight, etc.). The fact of loss, including sale, of the pledged item may be revealed. The auditor must indicate this fact in the act. The loss of the collateral is grounds for the bank to demand early repayment of the loan, which may negatively affect the financial position of the organization and initiate a bank bankruptcy procedure.

If there is a collateral, the auditor must assess compliance with the loan repayment schedule and the likelihood of foreclosure on the collateral in case of violation, as well as possible consequences for the audited organization.

Financial reporting control

Checking loan debt consists of examining what:

All debts reflected in accounting really exist (precondition for existence");

All debts that actually exist are reflected in the accounts (premise of completeness).

Verification that all debts reflected in the accounting actually exist is carried out by studying the reconciliation reports with the bank prepared by the organization.

Checking that all debts that actually exist are reflected in the accounting is aimed at identifying debts that are not reflected in the accounting or identifying an understatement of the actual amount of the debt.

Identification of existing but not reflected in accounting debts, by and large, is generally unrealistic, since if the bank from which the loan was received is unknown, it is impossible to find out the amount of the loan.

Cases of understating the amount of debt are associated in most cases with non-reflection of interest on the loan. To check, the auditor performs a recalculation.

In some cases, organizations are not accrued interest payable under the loan agreement for the reporting period, as they try to “embellish” the results of the organization’s economic activities. To justify their actions, credit or loan agreements indicate the deadline for paying interest on the loan at the end of the loan, the possibility of changing the interest rate on the loan (for example, depending on the foreign currency exchange rate), etc.

The auditor must carefully study the terms of the loan agreement regarding the calculation of interest, and check using the arithmetic method the correctness of the calculation of their amount.

There may be cases of accrual of interest on the debit of the settlement account and the credit of the loan agreement account, i.e. Interest seems to have been accrued, but is not recognized as an expense. The auditor must check the correctness of the attribution of interest to relevant article balance sheet in accordance with accounting rules.

It is possible that the amount of interest payable by the borrowing organization during the loan term will significantly worsen it financial condition. The auditor must check the validity financial plans, taking into account the repayment of the loan amount and interest on it. In case of doubt, the auditor must reflect this fact in the report, citing the detailed calculations he has made.

Performance monitoring

The auditor must check the duration of the loan on the organization's current account. Each day of “downtime” of the loan entails losses for the organization in the form of payment of interest on the use of the loan. In some cases, the loan (or most of it) remains in the current account of the recipient organization all the time, and is then returned to the bank with interest. In this situation, this transaction may actually hide the “donated” amount of interest to the bank, which may be payment for another completed transaction.

If there is a real need to attract credit funds the auditor must assess the possibility of raising funds from other sources; Perhaps the organization itself has sufficient funds or you can use installment plans from suppliers.

If payments to suppliers are made in stages, the auditor must check whether the loan is issued in the form of provision of tranches of the loan agreement corresponding in value.

The auditor must evaluate the effectiveness of what is specified in the loan agreement interest rate. The following options are possible:

The rate is higher than the market rate;

The rate corresponds to the market rate;

The rate is below the market rate.

To clarify this issue, the auditor must study the relevant reference materials, possibly request credit institutions, use data from other organizations that received a similar loan in the same period.

If the loan rate is higher than the market rate, the auditor must find out the reasons for attracting a loan on such conditions and arithmetic determine the amount of losses due to overestimation of the rate.

If the rate is lower than the market rate, this fact in itself does not entail financial losses, however, it is possible that the payment of real interest is covered by some other transaction, for example, a significant amount of collection commission, etc. In addition, the organization that issued the credit or loan under such conditions may suffer losses, and the interests of this organization fall within the purview of the auditor.

Analytical accounting for loans and borrowings at an enterprise should be organized:

By type of credits and loans (ruble, foreign currency);

Banks and other organizations and individuals from whom it was received;

Purpose of loans;

Terms (overdue loans; loans whose repayment period has not yet come);

Participation in the calculation of taxable profit.

A carefully thought-out and well-organized analytical accounting of loans and borrowings from an economic entity will help the accountant of this enterprise and the inspectors to check the correctness of the accrual of interest on these loans.

1. Drawing up a plan and program for auditing borrowed funds

The term “planning” means the development of a general strategy and a detailed approach to the audit, determined by the timing of the audit and the scope of audit procedures.

Planning an audit in general and an audit of borrowed funds in particular is carried out in accordance with the rules of auditing activities “Audit Planning”, approved by Resolution of the Ministry of Finance of the Republic of Belarus dated August 4, 2000 No. 81.

Planning, being the initial stage of an audit, includes the development by the audit organization of an audit plan indicating the expected volume, schedule and timing of its implementation, as well as the development of an audit program that determines the volume, types and sequence of audit procedures necessary for the audit organization to form an objective and informed opinion about the financial statements of the organization.

Audit planning must be carried out by the audit organization in accordance with the general principles of auditing, as well as in accordance with the following specific principles:

The principle of comprehensiveness of audit planning involves ensuring the interconnectedness and consistency of all stages of planning from preliminary planning to drawing up a general plan and audit program;

The principle of continuity of audit planning provides for the establishment of related tasks for a group of auditors and the linking of planning stages by time frame and by related business entities (structural divisions allocated to a separate balance sheet, branches, representative offices, subsidiaries);

The principle of optimal audit planning implies ensuring planning variation in the planning process of the audit organization to allow choice optimal option general plan and audit program based on criteria determined by the audit organization itself.

Planning an audit of an audit organization consists of the following main stages:

Pre-audit planning;

Preparation and drawing up of a general audit plan;

Preparation and drawing up of an audit program.

At the preliminary planning stage, the auditor must become familiar with the financial and economic activities of the economic entity and have the following information:

On external and internal factors influencing the economic activities of an economic entity, reflecting the economic situation in the Republic of Belarus as a whole and its sectoral characteristics;

In addition, the auditor should become familiar with:

Organizational and managerial structure of the economic entity;

Types of production activities and range of products;

Capital structure and share price (if the shares of an economic entity are subject to quotation);

Level of profitability;

The main buyers and suppliers of the economic entity;

The procedure for distributing profits remaining at the disposal of the organization;

The existence of subsidiaries and dependent organizations;

An internal control system organized by an economic entity.

At the preliminary planning stage, a Preliminary Planning Sheet is drawn up, in which auditors reflect the following information on transactions with creditors and loans (Table 1)

Table 1 - Pre-planning sheet (fragment)

The preliminary planning sheet is intended to estimate the volume of the organization's documentation to be audited and the total time spent on conducting the audit. Filled out by specialists aimed at preliminary acquaintance with a potential client, based on the results of conversations with the manager, chief accountant (accounting employee), review of documents, etc. As the assessment progresses and based on its results, the information received is either entered into the form, or one of the proposed options is selected and the corresponding cell is marked. If the client refuses to provide any exact information (for example, for reasons of trade secrets), then it is permissible to write down its approximate value (order of magnitude) or indicate “Refused to report.”

The audit organization needs to develop and document an audit plan describing the expected scope, list of work and timing of its implementation. The overall audit plan should be sufficiently detailed.

In general, the audit organization must provide for the timing of the audit and draw up a schedule for conducting the audit, preparing a report (written information to the management of the economic entity), and an audit report. In the process of planning time expenditure, the auditor needs to consider:

Real labor costs;

Calculation of time spent in the previous period (in case of a repeat audit) and its connection with the current calculation;

Level of materiality;

Conducted audit risk assessments.

In general terms, the audit organization determines the method of conducting the audit based on the results of the preliminary analysis, assessment of the reliability of the internal control system, and assessment of audit risks. If a decision is made to conduct a sample audit, the auditor forms an audit sample.

An integral part of the general plan are provisions for planning management and quality control of the audit performed. In general, it is recommended to provide:

Formation of the audit team, number and qualifications of auditors involved in the audit;

Distribution of auditors in accordance with their professional qualities and job levels for specific areas of the audit;

Instructing all team members about their responsibilities, familiarizing them with the financial and economic activities of the economic entity, as well as with the provisions of the general audit plan;

Control of the manager over the implementation of the plan and the quality of work of the auditor’s assistants, over their maintenance of working documentation and proper registration of audit results;

Explanation by the head of the audit team of methodological issues related to the practical implementation of audit procedures;

Documentation of the dissenting opinion of a member of the audit team (performer) in the event of disagreements in the assessment of a particular fact between the head of the audit team and its ordinary member.

Table 2 – General audit plan for loans and borrowings

Note - source: author's own development

Drawing up an audit program for loans and borrowings is a labor-intensive and lengthy process. Therefore, a standard program for auditing loans and borrowings should be developed, which will provide a classification of all possible types violations when reflecting bank loans and borrowings in the accounting records and a description of audit procedures for identifying these violations. Worksheets should be developed for each procedure, based on the results of checking which the lead auditor has the opportunity to draw certain conclusions.

The auditor should document the audit program, designate each audit procedure performed with a number or code, so that he can refer to them in his working documents during the work process.

The audit program should be designed as a program of tests of controls and as a program of substantive audit procedures.

A control test program is a list of a set of actions designed to collect information about the functioning of the internal control and accounting system. Tests of controls help identify significant deficiencies in an entity's controls.

Audit procedures are essentially a detailed check of the correct reflection in the accounting records of turnover and account balances. The audit procedure program is essentially a list of auditor actions for such detailed specific checks. For substantive procedures, the auditor should determine which sections of the accounting records he will audit and draw up an audit program for each section of the accounting records.

The next stage of the planning process is an assessment of the internal control system, the main purpose of which is to create a basis for planning the audit, as well as to determine the type, timing, and scope of audit procedures that are reflected in the audit program.

An internal control system can be considered effective if it promptly warns about the occurrence of unreliable information and identifies it. When assessing the effectiveness of the internal control system, the audit organization must collect a sufficient number of audit evidence. If the audit firm decides to rely on the internal control and accounting systems to obtain a reasonable degree of assurance about the reliability of the financial statements, it should adjust the scope of its audit accordingly.

The questions that the auditor needs to ask the management of Dukora-Agro OJSC at the time of planning a program to conduct an audit of loans and borrowings are given in Table 3.

Table 3 - Questions for verification.

Description of work

Purpose of the work: to study regulatory and literary sources relating to the audit of accounting for credits and loans and, based on what has been studied, to give recommendations for improving the audit of credits and loans in agricultural organizations. To achieve this goal, the following tasks are set:
- consideration of the sources and objectives of the audit of borrowed funds;
- familiarization with the sequence of the audit;
- consideration of regulatory and legislative framework audit of credits and loans;
- studying the main documents subject to mandatory audit;
- identification typical mistakes and shortcomings in accounting for loans and borrowings;
- consideration of an audit of the legality of use and timely repayment of short-term and long-term loans and borrowings of the bank;
- description of the procedure for drawing up an audit report on bank loans and loans;
- offer your recommendations for improving the organization and methodology of the audit.

The content of the work

Introduction………………………………………………………………………………4
1 The role and significance of the audit of borrowed funds…………………………………….6
1.1 Objectives and sources of audit of borrowed funds……………………………6
1.2 Drawing up a plan and program for the audit of borrowed funds………………...9
1.3 Overview regulatory documents and economic literature on the research topic …………………………...17
2 Revision credit relations ………………………………………………..19
2.1 Audit of legality of use and timeliness of repayment short-term loans bank……….19
2.2 Audit of the legality of use and timely repayment of long-term bank loans………………………...22
2.3 Audit of loans………………………………………………………………..24
3 The final stage of the audit of bank loans and loans …………………..27
3.1 Drawing up an audit report on bank loans and loans……………………...27
3.2 Improving the audit of borrowed funds……………………………..29
Conclusion…………………………………………………………………………………..31
List of sources used………………………………………………………33
Appendix A………………………………………………………………………………..35