Audit of financial statements

FAQ

• Mandatory audit

  Mandatory audit (wide range of users) - carried out in relation to the reporting of enterprises (organizations) of public interest. The list of business entities that are subject to mandatory audit is established by law. First of all, this is the law “On accounting and financial reporting in Ukraine”. Since 2018, it is mandatory to audit financial statements for enterprises of all forms of ownership when they achieve performance indicators corresponding to the category of a medium-sized enterprise (clause 3 of article 14 of the Law “On accounting and financial reporting in Ukraine”).

  Company assets: from 4 to 20 million euros. Net income from product sales: from 8 to 40 million euros, Number of employees: from 50 to 250 people. If any two of the three indicators reach the statutory level, the company is required to audit the financial statements.

• Initiative audit

  Initiative audit (limited number of users) - is carried out in relation to the reporting of enterprises that are not subject to mandatory audit.

• Review of financial statements

  For interim financial statements or for the preparation of consolidated financial statements for subsidiaries whose volumes of activity are insignificant, as a rule, a review (review of financial statements) is carried out.

  In conducting a review, the auditor does not use all the procedures that would be required for an audit. Therefore, both the time and cost of reviewing financial statements is lower than for an audit.