Revision af efterfølgende begivenheder og going concern: Overholder revisor de regulative krav i praksis?

Johnny Peldrup Ottosen & Pernille Bjerre Nielsen

Student thesis: Master thesis

Abstract

The starting point of the thesis is the audit of subsequent events and going concern. The aim is to investigate whether auditors performs their work adequately in relation to this. We examine the subsequent events, as this is an area where there are not that many studies and we did for this reason not know what to expect. We also choose to include going concern in the thesis as the area is closely related and brings timeliness to the project. The reason why we find it interesting is that there has recently been a higher degree of focus on the assessments from auditors on whether a company can continue to operate as the national number of bankruptcies has increased. The aim of the thesis is more specific to investigate if the auditors perform their work adequately in relation to auditing subsequent events and the going concern prerequisite. Furthermore, we take a look at the importance of subsequent event for going concern to create a natural link between the two areas. The analysis is based on the area regulation covered in the theory. We have in relation to this conducted interviews with a number of auditors and moreover gathered background material in the form of articles, studies and so on. Comparing the answers from the auditors with the material about the regulation thus enables us to conclude whether auditors comply with the duties within the area. Overall, we believe that the auditors perform their job well in these specific areas. The auditors do perform the relevant actions that are required and there are only a few actions in ISA 560 where the auditors slightly disagree on the procedure. This is, however, not something that change our view on whether the work is done acceptable or not in relation to subsequent events. We can, additionally, conclude about going concern that there is an increased awareness about the audit of subsequent events if the company has financial problems on the balance sheet date. This is also something that the standard suggests. Subsequent events are apart from that not specifically relevant for the going concern assessment. We believe that the auditors also perform their job acceptable in relation to going concern. A study by FSR in cooperation with Beierholm states that auditors do have more reservations now regarding going concern on bankrupt companies than before.

EducationsMSc in Auditing, (Graduate Programme) Final Thesis
LanguageDanish
Publication date2013
Number of pages208