Methodology of Provided Services
The audit approach of the auditing organization «JAVLON AUDIT SERVIS» is aimed at understanding the client’s project, as well as investing time and resources in proper planning. This ensures that employees are well-informed, which allows them to efficiently complete the task.
- Risk-based planning
- Audit risk assessment
- Analysis of the accounting system and controls as the basis for preparing financial statements
- Applying accumulated knowledge from similar projects
- Emphasis on professional judgment
We recognize that every audit is unique, and therefore a team of employees with the appropriate qualifications is assigned to each project to achieve the highest quality.
A key part of our methodology is related to risk assessment by senior members of the team working on the project, as these risks impact the project.
Methodology stages
1. Strategic Planning
We need to plan our audit approach in advance, in order to identify specific issues related to the project. The planning stage consists of several phases, including a strategy review and information gathering.
- Strategy Review
- Quality of internal control
- Complexity of accounting
- Inherent subjectivity, lack of precision, possibility of unauthorized transactions, neglect of control systems
- Information Gathering
Information gathering is an important step in our approach and is carried out in three directions:
- Review of the project’s accounting books and records
- Review of information prepared by the project at our request during the planning phase
- Discussions with management to understand the daily operations of the project
The planning process provides a preliminary assessment of reliability and potential areas of audit risk. We will review financial information, assess its consistency with our understanding of the project, and prepare a preliminary analysis of the required audit level.
2. Information Systems Review
At this stage, the audit team will gain an understanding of the accounting systems and controls and analyze their impact on the audit approach. Based on the results of these studies, we will develop detailed work programs for the next stages of the audit. Also, throughout the audit, we will identify areas where management information and control systems can be improved, and offer effective methods for improvement.
3. Detailed Testing of Transactions and Balances
The audit of the project's financial statements will be divided into components, and the degree of work on each component of the financial reporting will be determined by professional judgment.
4. Audit Completion
At this stage, we will gather all the results of our audit for the entity and express our opinions on the financial statements as a whole.
- Detailed analytical review of the reports
- Evaluation of the overall presentation of financial information
- Detailed discussions with management regarding issues arising during the audit
- Review of work performed by the partners and managers of the audit organization
- Overall conclusion on the reliability and objective presentation of amounts included in the financial statements