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General (Comprehensive/ Detailed) or Initiated Audit

The general (comprehensive/ detailed) or initiated audit will be carried out on initiative of the company’s Owner or Board of Directors with the purpose to obtain the information on an actual status/ condition of the accounting and reporting system and on financial position of the company, to be used for making managerial decisions on financial, organizational, personnel and other matters and issues.    
Such audits will not only promote and facilitate an adequate presentation of the information on business transactions  in the accounting books, records and financial statements, but will also reduce to a considerable extent any risks of non-operating material or intangible costs or expenses as incurred in the form of penalties, fines, administrative and criminal/ penal sanctions, by way of timely adoption of the decisions on elimination, correction or recovery of all and any violations, breaches, offences, errors  or irregularities against which no company is secured. 
Such audits will be carried out both with respect to operating companies and especially in relation to the companies which are expected to be reorganized or liquidated. Moreover, it is recommended to carry out such audits in case of any change of the persons authorized to maintain the business and tax accounting.  
 

The comprehensive/ detailed compulsory (initiated) audit of accounting and financial reporting/ statements within the framework of the International Accounting and Financial Reporting Standards will include:

Short audit of the materials connected with transition of the company to the system of accounting in accordance and compliance with the International Accounting and Financial Reporting Standards.

Audit of the Accounting System and Procedures, including:

- audit and verification of the Constituent Documents, the Owner’s certificates, acts, orders and instructions, etc. for the compliance thereof with the regulatory and legal acts, and evaluation of the overall adequacy of the presentation of information in the accounting books/ records and financial statements; 
- classification of the company’s activities for the accounting purposes, identification of officials and substantiation of their responsibilities, powers and authority; 
- identification and analysis of the signs of the operating  system of accounting (Kazakhstan Accounting Standards, National  Financial Reporting Standards and International Financial Reporting Standards) and the procedure of accounting and documenting;
- evaluation of the efficiency of the used methods of the Accounting Policy (selection of the calculated value index, accounting form, system of accounting transactions / book entries/ postings, preparation and execution of primary/ source accounting, tax and production documents, etc.), and the system of current control and monitoring of accounting quality. 
 

Audit of Financial Reporting Items, including:

The Accounting and Tax Policy, as well as compliance of the accounting and financial reporting with the accepted rules and regulations.
Business combination.
Intangible assets.
Real property, buildings, machinery and equipment (RPBME). 
Investment in real property (investment property).
Construction in progress (creation of RPBME (Real Property, Buildings, Machinery and Equipment), as well as their reconstruction, extension, modernization). 
Assets connected with exploration and evaluation of mineral resources.
Biological assets.
Financial instruments.
Leasing.
Building/ civil engineering contracts.
Cash assets and cash equivalents. 
Stock.
Current and deferred tax assets and liabilities.
Long-term assets available for sale.
Equity capital.
Accounts receivable and payable.
Estimated liabilities. Contingent assets and liabilities.
Income. Deferred income.
Expenses. Deferred expenses.
Salaries and wages to personnel.
Transactions in foreign currency.
Borrowing costs.
Social sphere/ services.
Off-balance-sheet accounting. 
 

Audit of financial reporting/ statements.

Preparation and scope/ content of financial reporting/ statements.
Segment reporting.
Interim financial reporting/ statement.
Events after the reporting date.
Related parties.
Consolidated financial reporting/ statements.
Explanatory notes. 
 

Sampling and due diligence audit of external economic transactions performed within the framework of the company’s basic activities.

Audit of the labor relations accounting documentation and records.

Audit of business and economic contracts and agreements to evaluate the overall adequacy of presentation thereof in the accounting books/ records and financial statements.

Audit of financial reporting/ statements as per the signed forms prepared in accordance with the IAS №1.

Preparation of Auditor’s Report and expression of Auditor’s Opinion on the audit results.

   
As a rule, the main purpose of any audit is:
To express an Auditing Company’s opinion on:
- the system and procedures of accounting of assets, liabilities, equity capital, income and expenses, and on the compliance thereof with the requirements and provisions of the tax and accounting legislation of the Republic of Kazakhstan, being in force at the time of the above accounting transactions;
- whether and how adequately  the legal support  of business transactions recognized and presented in accounting books/ record and financial statements, is provided, and whether it is provided in compliance with the requirements of  the civil, labor, business accounting and tax legislations of the Republic of Kazakhstan;
- whether the financial statements give a true and fair view of the state of the company’s affairs and where the information is adequately presented  in the financial statements. 
At the same time, within the framework of the Audit Contract the Client shall receive:
- express-training of its personnel in particular matters of the existing civil, labor, business accounting and tax legislations laws of the Republic of Kazakhstan as applicable to the audited entity’s particular activities;
- the Audit Report with recommendations on elimination of the errors and irregularities as revealed in the course of the audit;
- alternative solutions of the problems as revealed in the course of the audit or requested by the Client to be solved; 
- consulting and advice in any matters or issues connected with  the company’s activities within the Contract validity period. 
 

Special-Purpose Audit of Particular Financial and Business/ Economic Transactions or Events

Such audit will be carried out within the framework of a special audit engagement by decision of the Owner or the First Director, including, but not limited to,  the due diligence of particular transactions at the stage of their implementation or planning, the review, due diligence audit and analysis of the transactions finished but remaining within the limitation periods,  the confirmation or disproof of alleged theft of property,  the verification of proper fulfillment by the company’s officials, having a direct or indirect access to the material valuables, of their respective duties and responsibilities, the audit of particular transactions with the purpose of initiation of action proceedings, the audit of particular areas and sectors with the purpose to obtain the necessary information required for assessment of the specialists’ professional suitability and competency, etc.    
The above audit may be carried out as a part of the general audit with issue of an individual report or opinion.
 

Investment Audit

Such audit will be carried out in case of any expected investments to be made in any form, including acquisition/ purchase of an enterprise, of a control stock, transfer of the company in trust (trust management), etc., with the purpose of assessment of the investment volumes, any possible risks of such investment loss and expected payback period.