Analysis of the process of internal audit in Ministry of defense of Ukraine

The article is of interest to specialists of internal audit, internal and financial control, and heads (commanders) of structural subdivisions of the Ministry of Defense of Ukraine and the Armed Forces of Ukraine, military units, institutions and organizations in the systems, which directly organize internal control. The article substantiates the lack of preliminary coverage in the scientific works of the retrospective development of the system of internal audit and financial control. The scientific task of structuring existing information with the use of guidance documents and practical experience for the hierarchical construction of the transformation of approaches and views on the activities of structural units that monitored the effective management of state property and resources in the system of the Ministry of Defense and the Armed Forces of Ukraine was formulated. The article focuses on the delineation of internal control and internal audit. The necessity of implementation of internal control and its effectiveness is substantiated. The study analyzed the guidance documents that regulated the activities and the establishment of internal audit and internal control at the stages of its formation. The meeting covered the issues of transformation of financial control bodies in the Ministry of Defense of Ukraine and the Armed Forces of Ukraine, their main directions of activity and tasks were determined. Three stages of reforming financial and control bodies in the Ministry of Defense of Ukraine were identified, in which there were changes in approaches to the construction of the internal control and internal audit system. The article presents a retrospective analysis of the evolution of views on the purpose and objectives stated in the relevant provisions of the financial control bodies of the Ministry of Defense of Ukraine during the period of Ukraine's independence from the standpoint of implementing the declared goals of Ukraine's integration into the international professional community. The introduction of internal audit as an independent activity is aimed at improvement of the control system, prevention of the facts of illegal, inefficient and inefficient use of budget funds, errors occurrence or other deficiencies in military units and budget institutions, improvement of internal control, and the adoption of sound management decisions in modern conditions

Methodical recommendations for conducting an audit of the financial institution of the manager of the lower level

The methodological recommendations highlighted in the article will be useful for auditors who carry out audits of financial and economic activity in the system of the Ministry of Defense of Ukraine and other components of the security and defense sector. It is determined that the subject matter of the article is not sufficiently investigated, both from a practical and a theoretical point of view. The article presents a retrospective analysis of the activities of the second-level funds managers in the overall construction of funds managers in the system of the Ministry of Defense of Ukraine and the Armed Forces of Ukraine. The main directions of activity of second level managers are determined. The article analyzes the legislative and regulatory acts regulating the second level manager at both the state and departmental levels. The analysis carried out in the article made it possible to highlight a number of key functions of the financial authority of the second-level funds manager. The article outlines nine areas for conducting an audit, the need for a second-tier administrator in a financial institution and identifies specific areas of verification. Also, the article deals with issues that are to be investigated when assessing the activity of a financial institution of the manager of lower-level funds, which, in its functions, is the organ of provision for subordinate military units, institutions (hereinafter - the manager of lower-level funds), depending on its functions and tasks they are executed. Taking into account the practical experience, the methodical recommendations for conducting a check on the activity of the financial institution of the manager of the lower level funds are presented, and the questions, which according to the authors, are subject to compulsory study, are presented. The substantiated conclusions concerning the necessity of determining a number of other (additional) areas of verification are formulated depending on the peculiarities of functioning of the other financial institution of the second level administrator and the mandatory inclusion in the audits of the overall indicator of the state of financial and economic activity of military units, institutions and organizations, which are in financial security