INFLUENCE OF INTERNAL AUDIT PRINCIPLES ON THE CONTROL ENVIRONMENT: ECONOMIC AND SOCIAL CONSEQUENCES

Abstract

It has been proved that accounting reform introduces its adjustments to the internal audit methodology while modifying the system of its principles. The analysis of scientific sources showed disunity in systematizing the internal audit principles and identifying of their role in the management system, therefore the purpose of the article is to systematize the internal audit principles to determine the economic and social consequences of their impact on the internal audit unit activities, control environment and enterprise economic activity in general. It has been proposed to allocate separately the methodological principles of internal audit as a branch of knowledge and organizational principles of internal audit as a type of professional activity. The description of the methodological and organizational principles of internal audit is presented and economic or social, and in some cases, socio-economic consequences of their influence on the results of the internal audit department activity and control environment have been disclosed. It has been proved that the whole set of methods and techniques used in the internal audit process provide unity and logic of methodological principles, while compliance with organizational principles allows choosing the most optimal options for streamlining the structure and functions of the internal audit unit.