Search

Audit is an interdisciplinary activity which requires, nowadays more than ever in the past, knowledge and skills in the field of accounting and related financial knowledge, as well as from other non-financial sectors (such as the statistics or the information technology). The use of statistics in the audit may not be entirely obvious at first sight and thus the main aim of this thesis is to point out possible ways to apply statistical tools in substantive testing (which represents an important stage of the audit work). The most important use of statistics in the audit can be found in sampling methods. The range of a tested population may be too wide for testing the whole population that leads to the fact that it is necessary to select an audit sample appropriately. The thesis outlines what kind of method and technique of selection to choose and how to generalize the results obtained during the sample testing to the entire population. Besides the main aim in the form of the application of statistical tools in the audit, the thesis also focuses on a brief description of the audit history, polemic of current understanding of the term audit, professional organizations and regulations of the audit in the Czech Republic and description of individual stages of audit work (especially on a detailed analysis of a substantive testing).

The thesis deals with the verification of selected internal processes and items in final accounts of the company Graziano Trasmissioni, Ltd. The theoretical basis of the thesis concerns problems with audit planning and performance. It provides an explanation of essential audit definitions, objectives and phases and a description of audit risks. It characterises methods which can be used for obtaining appropriate and sufficient audit evidence that is necessary for expressing the auditor's opinion about credibility of final accounts. The emphasis is on obtaining information with the assistance of control and substantive tests. In the practical part of the thesis, control tests are applied to a purchase and sales process. The test results should show whether the internal control mechanisms are effective or not. The substantive tests validate balances of accounts receivable and accounts payable. The specific objectives are tested and the results prove whether the account balances are misrepresented in the financial statements or not.