The adopted accounting system does not meet legal and regulatory requirements.
We confirm that, except for the limitations mentioned above, the financial statements in all material respects provide accurate and complete financial information about the company as of January 1, 200__. in accordance with the regulatory requirements for the organization of accounting and reporting in Ukraine. "
Conditionally positive conclusion (there is a fundamental disagreement).
"… During the audit it was established that the transactions (a list of transactions is given or written:" which are set out in Appendix No. 1 to the audit report ") were carried out in violation of the established procedure. However, these discrepancies have limited impact on financial statements general financial condition of the enterprise.
We confirm that, except for the inconsistencies set out in Appendix No. 1, the financial statement in all material respects provides accurate and complete financial information about the LLC as of January 1, 200__. in accordance with the regulatory requirements for the organization of accounting and reporting in Ukraine. "
Negative audit opinion:
"… As a result of the audit it was established that during the reporting period the company committed significant violations and distortions (a list of violations is given or written:" which are set out in Annex No. 1 to this opinion "). The violations significantly affect the financial statements of the company and distort the real state of affairs.
The financial statements have significant misstatements and inaccurate financial information about the company as of January 1, 200__, the following requirements for the organization of financial accounting and financial reporting in Ukraine are not met (in a concise form is a list of issues for which the requirements for accounting or it is written: "on the issues listed in Annex No. 1").
Thus, the data of accounting and financial reporting do not give a reliable picture of the actual state of affairs at the enterprise, which developed on January 1, 200 __.
Auditor’s report, which refuses to provide the auditor’s report:
The above points significantly affect the actual state of affairs in general (mainly).
Due to the lack of sufficient audit evidence, we are unable to issue an objective audit opinion on the financial statements prepared as of January 1, 200__. "
Thus, there are five such types of audit opinions.
1. Definitely a positive conclusion – the information provided gives a true and complete view of the actual composition of assets and liabilities, business activities are carried out in accordance with applicable law, the accounting system meets legal and regulatory requirements, financial statements are based on true accounting data and accurately reflect financial condition.
2. Conditionally positive conclusion (there is a fundamental uncertainty). Due to the impossibility of verifying individual facts, the auditor cannot express his opinion on these points, but they have a limited impact on the state of affairs as a whole and do not distort the actual financial condition. The auditor considers it possible to confirm that, with the exception of the above restrictions, the information provided indicates that the business is in compliance with applicable law. The accounting system meets the legal requirements. The financial statements are prepared on the basis of reliable data and generally accurately reflect the actual financial condition.
3. Conditionally positive conclusion (there is a fundamental disagreement). Some transactions are executed in violation of the established procedure. However, these points have a limited impact on the overall situation and do not distort the real financial ethane. The auditor considers it possible to confirm that, except for the above restrictions, the information provided indicates the compliance of the business activities with applicable law. The accounting system meets the legal and regulatory requirements. The financial statements are prepared on the basis of reliable (true) financial data and in general accurately reflect the actual financial condition.
4. Negative conclusion. The audit found violations. The violations distort the real state of affairs as a whole (mostly). The adopted accounting system does not meet the legal and regulatory requirements. The financial statements do not match the accounting data. Thus, accounting and financial reporting data do not give a reliable picture of the actual financial condition.
5. Refusal to provide an opinion. Due to the impossibility to verify the facts, the auditor cannot express an opinion on these points. The presented points significantly affect the actual state of affairs as a whole. Due to the lack of sufficient audit evidence, the auditor cannot issue an objective audit opinion.
Accountant and management accounting: incompatibility or unity? Abstract
Practitioners have many questions about the principles of management accounting. We will try to answer these questions in this essay
What is management accounting?
The name of this account speaks for itself: the collected information is used to make management decisions by business leaders. In the classical version, the purpose of such accounting is to optimize production costs. But today its functions have expanded significantly, among other things, it is designed to provide management with the necessary information, both retrospective and predictive.
Here, accountants usually ask the following question: why the manager can not use such an accounting result as financial statements? The answer is simple: financial statements are not enough because:
first, they are retrospective, accordingly, the forecasts are not reflected in the financial statements; second, reporting is not done as often as required by the management of the enterprise; thirdly, this data is not a trade secret, therefore, such reporting does not disclose all the information necessary for management.
Management accounting data is a trade secret of the enterprise.
But why me?
Accountants, and especially chief accountants, are always concerned with this issue when management requires management information from them.
First of all, it should be noted that the right of the head to independently determine the need for management accounting, its form and subjects is provided by the Law on Accounting. In addition, the qualifications of the chief accountant explicitly provide for such a duty as the development of a system and forms of management accounting.
Thus, in order to lab report writing website organize management accounting in the enterprise, the following steps should be performed.
Record in the order the fact of management accounting. Quite often the relevant item is in the order of the accounting policy. It follows from the requirements of the Law on Accounting that management accounting is not an element of accounting policy, which is aimed at preparing financial statements. According to the author, the organization of management accounting should be provided in a separate order, because the order on accounting policy can be used by auditors or representatives of tax authorities. Therefore, they can see information on management accounting.
Responsibilities for the organization of management accounting are assigned to the chief accountant, who must submit the results of management accounting to the director by form and frequency.
Assign certain areas of work to specialists in the relevant job descriptions. As a rule, the responsibilities for the organization of management accounting are assigned to the chief accountant.
To organize work on preparation for the head of the enterprise of offers concerning:
development of the system and forms of internal economic (management) accounting and document management rules.
Familiar _______________ Ch. accountant O. Petrenko
On the basis of job description and taking into account the wishes of management develop forms of management accounting and the frequency of their submission, which should be approved in the form of annexes to the order.
The very responsibilities for filling out management forms are assigned to ordinary accounting staff who are responsible for certain areas of accounting, or employees of other departments, such as the finance or planning department.
Job description of an accountant for cash accounting
6. Every Monday at 11:00 to submit to the chief accountant information about the proceeds from the sale of goods received in the past week, in terms of departments of the store in the form below.
s / n
Reporting week from _______ to _______
Previous week from _______ to _______
specific weight in total,%
specific weight in total,%
Familiar _________________ Accountant Bondarenko
Note that the subject of management accounting can be not only an employee of the enterprise.
If the accounting at the enterprise is not an employee, but a business entity under a civil law agreement, then in this agreement it is advisable to specify the obligation to manage management (if the head deems it necessary).
Objects of management accounting
Quite often, in order to answer the questions asked by management, the accountant has to process the data that lie in the plane of management accounting. Consider the questions most typical of enterprises in the field of trade.
Employees of which department deserve a bonus for the results of work for the year?
In this case, the accountant should determine the effectiveness of the divisions of the enterprise. It is worth remembering that all divisions of the enterprise can be divided into two groups:
the first generates income and cash receipts; this group includes shops, warehouses, etc., ie places of sale of goods; the second does not generate income and does not directly "earn" money, but includes the administrative apparatus (including accounting) and other support units.
Thus, the criteria for the effectiveness of units are different.
For the first group, the illustrative indicator can be the daily turnover per employee, taking into account the number of days worked and the specifics of the sale of goods. In practice, some experts evaluate the performance of, for example, store departments on the basis of earned profits or profitability. At the same time, administrative costs are distributed among the revenue-generating units, taking as a basis the distribution of turnover, salaries of employees of the relevant units, and so on.