Risk based approach in auditing financial statements

Abstract

The purpose of this article is to analyze the provisions of International Standards on Auditing, disclosure of the practice of auditing financial statements, for studying risk-based audit. The author examines various approaches to the audit of financial statements, analyzes and classifies various types of risks that need to be taken into account when conducting an audit. In conclusion, the author formulates proposals for conducting an audit, taking into account the risk-based approach. For the practical application of the risk-based approach in the audit, the author has elaborated an auditor's file to identify risks and take adequate measures. CZU: [657.6:005.915]: 330.131.7; JEL: M42; DOI: https://doi.org/10.53486/isca2023.28