Kolomoitseva J.A. Usachev V.A

Donetsk National University of Economics and Trade after Tugan-Baranovsky

History Audit

Audit (from Lat. Audit - listening) or audit - a procedure independent assessment of the organization, system, process, project or product. Most often the term is used in relation to the verification of accounting reports for the purpose of expressing an opinion on its authenticity.
The operational, technical, environmental, quality, and other types of audit. Certain types of audits are close to this certification. Should distinguish between the types of audits from the audit of financial statements.

History-Audit
Etymologically, the word "audit" is derived from the Latin. audio - «I hear." The need for the audit is supposed to have originated simultaneously with the birth and development of barter and monetary relations. The earliest evidence of the audit on China around 700 BC. e. The development of the audit was closely associated with features of the financial and industrial history of the country and depended mainly on the nature of the development of capital market.
In the Middle Ages in European trading cities at the request of counterparties merchants (usually merchants or other banking institutions) auditors audit the books of merchants and showed their reliability. In the XIX century, the main clients of the audit have, in addition to lenders, owners of companies - due to the active development of joint stock and limited companies in which the owners are not held by the current administration and, therefore, require periodic inspection hired managers.
The globalization of the economy, the creation of transnational corporations with many divisions, often scattered across the country and even around the world have greatly increased the business needs of independent auditors. In addition, the growth of state intervention in the economy and the complexity of the taxation system, the company began to feel the necessity of independent professionals who can review the accounting and tax accounting firm to identify errors and mis-reporting and prevention of sanctions from the government.
In the XX century, due to the active development of the stock market, a new category of persons interested in the audit - the investors. Generally, each new wave of scandals related to bankruptcy of companies whose equity or debt securities are exchange listed and actively traded, turns prosecution auditors and stricter requirements for auditors and their taking checks. Because of the large number of investors have become more active and demanding consumers of audit services.
Since the mid XX century auditors began to expand its sphere of interest and have started activities not only to confirm the accounts, but they have themselves to keep accounts for other organizations, acting as a collegial corporate accountants and lawyers, as well as the investment adviser and trustee for its customers. In addition, the technological revolution has forced accounting firms to learn the functions of the introduction of modern technologies in business management, accounting automation, implementation of quality control systems and other related works.