AUDIT FEATURES OF THE FIRST IFRS FINANCIAL STATEMENTS

Abstract

Abstract. This article focuses on the financial audit of the first financial statements prepared in accordance with International Financial Reporting Standards (IFRS). Also, the article examines the requirements for the training, maintenance and design of workers in accordance with International Standards on Auditing (ISA) 230 «Audit documentation». The article identifies the main objectives, relevance and need for an audit of the first IFRS financial statements. The main sources of information for such an audit have been formed. The article analyzes the requirements for the first IFRS financial statements. Based on these requirements, the criteria are formed according to which the auditor will check the correctness of the transition of the company from national to international standards. Also, the main audit procedures that will be applied by the auditor in performing such an audit are identified. The research identified the importance of an audit of IFRS accounting policies. The criteria by which the auditor will verify the compliance of the applied accounting policy with the requirements of international standards are defined. The article identifies and analyzes the role of proper use of reasonable cost in the transition to international standards. There are requirements for such application, which will be important when auditing the correctness of the first IFRS financial statements. The article provides an overview of the transformation file of the transition to IFRS as one of the important sources of information for the audit. The procedure of transition from national to international standards with the help of a transformation file is analyzed. The importance of the auditor’s use of such a transformation file is determined. The research of the audit of the first financial statements in accordance with IFRS, allowed to form the requirements for audit documentation in accordance with the requirements of ISA. The main composition of the audit documentation that the auditor should have upon completion of the audit of the first IFRS financial statements is indicated. Keywords: audit, auditor’s report, IFRS, ISA, IFRS financial statements. JEL Classification M41 Formulas: 0; fig.: 2; tabl.: 1; bibl.: 13.