IMPROVING AUDIT QUALITY IN THE CONDITIONS OF DIGITALIZATION
Abstract
The article examines the state of competition and the quality of auditing services. The dynamics and types of fines applied by the Audit Public Oversight Body of Ukraine and Audit Chamber of Ukraine to subjects of audit activity during 2020-2022 were analyzed. The most frequent penalty that was applied was a warning. It has been established that continuous digitization, rapid development of IT technologies, fierce competition affects all areas of the economy, change approaches to production and management of business entities, which in turn is reflected in audit methods. It was found that the digitization of audit firms in Ukraine is at a low level. Approaches to the classification of computerized audit methods have been studied. Technological audit methods are defined as any automated audit methods such as comprehensive audit software (GAS), test data generators, specialized service programs and computerized audit methods (CAATs). It has been established that complex auditing software is practically not used in Ukraine. Auditors prefer systems-oriented or risk-oriented approaches to auditing using a sample research method. The fundamental difference of complex audit software is that it allows you to check the entire general population, the entire set of documents or accounts of analytical accounting, without increasing the time for conducting the audit. This is extremely relevant for Ukraine, as a country with an increased risk of fraud and distortion of data in accounting and reporting. Today, almost the only type of GAS used in Ukraine is Excel. However, compared to other comprehensive audit software, it does not allow to investigate the integrity of client data and has limited functionality. Despite the fact that there is currently no requirement in Ukraine for auditors to use comprehensive auditing software, we believe that this will become a requirement of the time in the future. It was found that its main advantages are: improving the quality and efficiency of the audit; improving business understanding; increasing audit creativity; more in-depth analytical research; improvement of discipline and cooperation between the auditor and the client.
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