Analytical procedures in auditing of Civil Society Institutions

Abstract

The purpose of the audit of civil society institutions is to increase the trust of the public and the state, confidence in the completeness and reliability of financial and non-financial information, assessment of the effectiveness of the funds spent on the implementation of projects and programs by such entities and must confirm the transparency of data on the spending of public funds. At all stages of the audit, from planning to the formation of conclusions, analytical procedures are of great importance when investigating the activities of civil society organisations. The article examines different approaches of scientists to defining the essence of analytical procedures. The definition of analytical procedures as a part of audit actions and the establishment during the audit of relationships between financial and non-financial, quantitative and qualitative indicators, the need to identify trends in changes in processes and phenomena have been clarified. Scientific sources have been elaborated on the content, scope and features of conducting analytical procedures depending on the type of business entity and its activities, as well as tax status. The author details similar features and differences between analytical procedures in financial analysis. The use of the same methods and tools in the process of analytical procedures and financial analysis was revealed. It is specified in relation to the purposes of analytical procedures different from financial analysis, during which it is necessary to ensure the quality of audit evidence and the formation of an audit report. The article focuses on the expediency of using in the audit not only indicators of economic and financial analysis, but also indicators by types of economic activity and organizational and legal forms. The composition and volume of analytical procedures, methodological tools will depend on the goals, tasks and objects of the audit. The implementation of analytical procedures in the audit process of civil society organisations is substantiated, taking into account the specifics of their activity, which is related to the provision of social services. The proposed information model of analytical audit procedures in the field of civil society, which is formed according to the main objects of the audit: implementation of the project (program) and the activities of the organization as a whole.