M42 - AuditingReturn

Within this article, the reader reads about the possibilities of processing stratified sampling in the MS Excel program. The subject stratified sampling is performed by means of a table, which stratifies the population on the basis of predefined formulas created by one of the authors of the article. The application of specific audit procedures is intended for small audit entities that use MS Excel to perform sampling, or for those audit entities that would like to ensure a change in the procedures for performing specific audit procedures on audit engagements through the use of other sampling methods that these audit firms usually don´t use. The procedure is also applicable to audit entities that would like to adjust the performance of sampling, within the stratified selection, with the knowledge gained by studying the article in question. In its practical part, this article will focus on the detailed procedure of sampling in the created tool, which is the stratification table. The introduction of the article focuses on the description of individual procedures and theoretical starting points performed in the process of a statutory audit, performance of audit tests and selection of samples, in which the article is based primarily on International Standards on Auditing (ISA) and manuals from the International Federation of Accountants (IFAC) and Deloitte Audit, which are provided by these organizations in cooperation with the Chamber of Auditors of the Czech Republic (KAČR).

The article analyzes selected factors of the audit of the financial statements of public research institutions. Specifically, it concerns the structure of auditors, the concentration of audit engagements in small number of auditors, the rotation of auditors and the disclosure of the remuneration for the audit company in the notes to the financial statements. The article mentions similar researches conducted in different types of non-profit organizations and the conclusions are then compared. The auditors of the financial statements of public research institutions are usually audit companies rather than the statutory auditors. Public research institutions, as well as other non-profit organizations, use the particular auditor for a long period of time. It appears, in the case of public research institutions, that more and more audit engagements are provided by one audit company. A significant number of public research institutions do not disclose the renumeration for the audit company in the notes to the financial statements.

The article deals with analysis of Czech foundations' management transparency in the area of accounting and auditing. The foundations that have received contributions from the Investment Fund for Foundations are compared with the foundations that have not received such contributions. The main aim of this article is to assess if release of legislation regarding foundations in the Czech Republic, which has been in force since 2014, is appropriate. This includes, in particular, the Act on Foundations and Endowment Funds, and the termination of contracts for the transfer of contributions from the Investment Fund for Foundations to foundations. The results of the research can be used for further analyses of the impact of the new legislation on the transparency of foundations, as well as for discussion about the future form of laws regulating activities of foundations in the Czech Republic.

The first goal of the submitted contribution is to determine objectified value of the construction enterprises. For a low objectified boundary value is applied Direct Capitalization Method. The main aim of this contribution is using the model of simple linear regression to express value on the appropriate size of equity in the Czech economy in the years 2007-2014. Research sample (N=35) includes medium and large construction enterprises operating in the Czech Republic. The legal form of construction enterprises is Public Limited Company and Private Limited Company. These construction enterprises are valued at eight consecutive years. This resulted in a total of 278 values of construction enterprises. The regression model that includes a total of 278 observations. An integral part of the model of simple linear regression are the assumptions that give the model adequacy. The final regression model can be recommended for expert practice fast, simple, impartial estimate may be used for purposes of business economics. An important part is also a demonstration appropriately selected transformation data series that allows the use of simple linear regression model.

The aim of this paper is to describe, analyze and compare the development of conditions for the activities of foundations and endowment funds in the Czech Republic in the area of legislation and accounting in years 1989 to 2014. The analysis is focused on:
* the development of the legal regulations of foundations and endowment funds after 1989, after the effect of a separate law on foundations and endowment funds up to the present, which is related to the adoption of the new Civil Code,
* changing conditions for accounting, financial statements, the content and the publication of annual reports and their verification by the auditor.
The integral part of this paper is to draw attention to the negative aspects of the changes, suggest possible measures to address the drawbacks and facilitate the decision-making process of potential founders whether or not to establish a foundation or endowment fund while respecting legal and accounting perspective.

This article builds on research published in the article "Fact and Fiction in EU Governmental Economics Data" (Rauch, Göttsche, Brähler, 2011). By exploring the possibilities of applying Benford's Law as a useful instrument for detecting data manipulation, this instrument is applied to the Czech Republic, particularly in the monthly data of exports and imports for the period 1996-2012, which make up the trade balance. We use the Z test as the test criterion and the first and second digits are tested. The primary aim of the article is to summarize the current theory regarding Benford's Law and the practical applications of this theory to the governmental macroeconomic data.

The primary objective of non-profit organizations is impletion of the envoi which isn't make direct earnings, but provides benefit in modification of public utility services. Typology of non-profit sector presents specific position of the organizations in the national economy. Organizations are considered as business units and taxpayers. The exceptions should emphasize the non-profit vision in context of the market environment. The identification of the main specifics is necessary for orientation in the massive legislation.

The objective of this paper is to give information about the legal regulations for bookkeeping of some selected accounting entities in 2010 and 2011 and also to warn of some problems with the practical application of accounting methods in connection with review of the economy of municipalities and with the audit of financial statements of some selected accounting entities in context of the accounting reform of the public finance in the Czech Republic.

The purpose of this paper is to present and analyze the role and responsibilities of the audit in the dominant enterprise in the market of postal services. To achieve the target, it discussed two major issues: EU regulations on competition policy and the audit in the Polish Post Office - the dominant enterprise in the market for postal services in Poland.

This article presents and analyzes the issues related to the identification of fraud risk factors and appropriate response to the imminent risk of fraud. The paper presents examples of fraud risk factors in a general way to refer to all aspects of business. Considerations supported the results of research on issues of fraud, which were conducted on a global scale. Also discussed the role of corporate governance in the prevention of fraud.