Methodology of building up the accounting and analytical management support for organizations in Russia

This article deals with the issues, concerning methods of providing accounting and analytical support for the management of organizations with various patterns of ownership in Russia, related to national mentality and caused by the lack of uniform terminology, the need for a systematic approach to the formation and interaction of accounting, analytical and control subsystems, the influence of international practices in the context of harmonization of world economy. The ways of solving the problems have been identified. The original classification of the principles of the accounting and analytical support buildup for the organization man-agement has been compiled. We have analyzed the existing approaches and individual points of view to determine the content of this concept, and put forward our individual interpreta-tion. The authors explain the purpose of the effective functioning of the accounting and ana-lytical support of management and offer a system of fundamental principles of its organiza-tion. The main advantage of the authors' interpretation of accounting and analytical support is in the improvement of general methodology as well as creating the ground for developing techniques of record keeping, analysis and control on the basis of international experience, which ensures the continuity of the process of tactical and strategic decision making, well-timed adjustments of the development strategy of the organization in the long term, contrib-uting to the efficiency of administrative decisions taken by the management.peer-reviewe

Use of regression models when performing fraud risk assessment procedures in the audit process

The article provides an overview of current research in the use of regression models when performing assessment procedures of material misstatement risks due to fraud in the financial statement audit. The authors were reviewing regression models predicting deliberate distortion of financial statements, developed by M. Beneish and J. Jones. In addition, they consider the later modifications to these models, applicable in the course of the audit process to estimate the material misstatement risk on the basis of meso-economic, operational, scaling, and other factors affecting the operations of reporting accountants. The specific features, advantages, disadvantages and the use of different types of regression models in the audit process are described. The criteria for comparison are formulated, and the comparative analysis of adapting the best-known features of regression models to the challenges of fraud risk assessment for financial statements in the audit process is carried out. The conclusions about the possibilities of use and a range of different types of regression models when initiating the fraud risk assessment procedures to the financial statements in the audit process are formulated. The limitations, inherent of such models are explained.peer-reviewe

Development of internal control methodology by using statistical methods of variability assessment of material flow business processes

Variability or instability is one of the key features of any process, including business processes of material flow internal control. Variability is a characteristic of all natural systems and technical processes. The objects which properties can be characterized via certain parameters arise at the output of any process. The article discloses the feasibility of using the statistical methods in the internal control system of business entities; in this case the focus is on the method of identifying the causes of variability using control charts of various types (Shewhart control charts) as a prime tool. The view points regarding variability of famous academic economists who researched the business process management issues are also considered. Authors’ classification of business process variation on types of material flow internal control with the allocation of controlled and uncontrolled variation is taken as the basis of the proposed application. The method of using control charts in estimating the efficiency of material flow internal control business processes is described in detail.peer-reviewe