MARIAM KHOJAYAN - Head of Audit,
This is an independent audit of accounting (financial) reports of opinion on their reliability that is conducted according to the requirements of “International Standards on Auditing” (ISA) and RA legislation and presented in a form of a written audit report. Based on reliability that is defined as the reports’ degree of accuracy, the user makes conclusions on the reporting date about the results of economic and financial operations and stock status of the business entity. While being compiled, the trustworthiness of the financial reports also suggests conformity with “International Accounting Standards” (IAS) and “International Financial Reporting Standards” (IFRS).
When is this Service Needed? Who Needs and Why?
RA legislation defines the list of organizations subjected to a mandatory audit.
Financial reports of the organizations mentioned below are subjects to a mandatory audit:
- Open joint-stock companies;
- Foundations with assets exceeding 10 million AMD;
- Non-governmental organizations that have received state funding of 10 million and above during the reporting year;
- Large and medium-sized organizations that have exceeded at least one of the following indicators during the reporting year: revenue of 20 billion, or total assets of 10 billion, or labor force of 250 people.
- Banks, stock bourses, and other state and private organizations defined by law or other regulations.
Mandatory Audit Price
The price of a mandatory audit for financial reports is determined for each separate case. In the analytical stage the accounting and operation internal control systems, legal-organizational form, the volume of operation, number of labor force, assets and inventories category, as well as the number of partners are taken into account.
Highly possible that the price of financial reports’ mandatory audit will compile:
- Non-governmental organizations: between 300 and 600 thousand AMD;
- Foundations: between 400 and 900 thousand AMD;
- Open joint-stock companies: between 400 and 900 thousand AMD;
- Large and medium-sized organizations: between 800 thousand and 1.5 million AMD.
What do We Give?
- An audit according to “International Standards of Audit”.
- An audit report on your annual or any other interim period of your financial reports according to “International Financial Reporting Standards”.
- By publishing your yearly financial and audit reports you will correspond to the legislation requirements and avoid sanctions by state regulatory bodies.
- Management letter with suggestions about improvements and error rectification in your organization’s accounting and control systems.
- Long-term and transparent business relations with your partners, potential investors, financial institutions, and shareholders.
- Systematic professional development of staff involved in the accounting process. Your organization is in compliance with professional and legislative requirements which ensure your reliability.
Financial Reports of Your Organization are in Accordance with the Requirements of “International Financial Reporting Standards”
- Records of assets and liabilities correspond to reality.
- Your accounting and tax recording systems correspond to the requirements of current regulations.
- For your further use, the potential risks of your managerial recordings and the ways to cope with them are discovered.
- Your partners, potential investors, financial institutions, and shareholders are interested in an audit on the results of your financial reports conducted in accordance with “International Standards on Auditing” (ISA) and “International Financial Reporting Standards”.