Aspects Regarding the Quality of Statutory Audit Reports

Author:Lect. Univ. Daniel BOTEZ, PhD.

JEL:M42

DOI:

Keywords:statutory audit, audit report, ISA 700, audit opinion

Abstract:
Statutory audit reports need to comply with certain form-related requirements under the professional standards, in terms of the components of the audit report, their titles and content, their order or the expression of the opinion. Their aim is for the subject-matter aspects identified by the auditor to be disclosed in the report, according to consistent unified professional practices. Thus, the users of financial statements and, implicitly, of audit reports can benefit from comparable, comprehensible and coherent information.\r\nThe goal of this study was to bring to light the degree in which audit reports prepared by listed public interest entities auditors observe the requirements in the applicable professional standards and the way in which these reports demonstrate the adequate use of professional concepts and terminology.\r\nAuthor’s findings used as a reference the provisions about the title of the audit report, its addressee/addressees, the introductory paragraph, management’s responsibility, auditor’s responsibility, the expression of the opinion, references to other legal requirements.\r\nThe author highlighted a series of aspects showing that professional requirements are not always observed and that professional vocabulary is not rigorously used. \r\n

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