THE ESTIMATION OF RELIABILITY OF RELATED ENTERPRISES AS AN INTEGRATED PART OF INTERNAL CORPORATE AUDIT OF A GROUP OF INTERNATIONAL COMPANIES

Abstract

The purpose of the article is to develop a methodical approach to estimation the reliability of related enterprises in the overall system of internal corporate audit of a group of international companies based on the study of quantitative and qualitative criteria. The analysis of statistical data on the volume of financial investments and foreign direct investment in the equity of Ukrainian enterprises has allowed determining an increase in the degree of interconnectedness of foreign and national capital. According to the author, in such conditions a new task for the department of internal and corporate audit of the group is formed - activity related to the analysis and audit of the efficiency and reliability of foreign economic transactions with related parties. In terms of audit, a multinational corporation can be defined as a group of companies under the sole control of one owner. For such associations, the significance of internalcorporate audit is highlighted, since the specifics of the organization of TNCs create high risks for the preservation of the invested capital. It is determined that the basis for judgments of the internal auditor of foreign economic operations of the group with related parties is formed in two directions: assessment of the efficiency of operations with related enterprises on the basis of quantitative criteria; assessment of the economic safety of operations with related enterprises on the quality criterion of reliability of the related enterprise. The article proposes to assess the reliability of the related enterprise by the following qualitative criteria: the level of control of the owner; currency risk; accounting, reporting and internal control system; compliance with customs standards; intellectual capital; compliance with international standards of quality and environmental safety; level of social responsibility. An example of giving the status of reliability to a related company is presented by the criterion «The level of control of the owner of the capital».