Accounting and analytical support for managing the reliability of financial reporting indicators

Abstract

The factors contributing to the violation of the current legislation on accounting and reporting, which lead to distortion of the reporting of financial and property status in the reporting, have been clarified. The purpose of the entity, the subject and objects of the audit to identify signs of falsification of financial statements. It is substantiated that analytical procedures allow establishing the absence or presence of deviations between the actual and expected values of indicators disclosed in the financial statements. It has been proven that the use of analytical procedures in the audit may confirm the reliability of financial statements or identify atypical deviations that may be highly likely to indicate fraudulent actions during the documentation of major business processes and distortion of interrelated financial statements. It is established that modern approaches to the audit methodology to verify the reliability of financial statements are based mainly on the use of documentary and factual methods of control, analytical procedures are limited to horizontal and vertical analysis, rapid analysis of financial condition, based on correlation-regression analysis. The classification of analytical procedures according to the information base and according to the complexity of the methodology has been developed. The article presents the typical violations that can be identified during the audit to identify signs of falsification of financial statements using analytical procedures.