Particularities of Profit and Loss Account Audit and the Production Process in Constructions

Abstract

The activity during the process of building is strongly influenced by the particular elements thatsupport it, by the direct and indirect building costs. A well-controlled activity from the view point of execution, building site organisation, as well asensuring the specialised human resource may lead to reaching the objectives set: finalising thebuilding with minimum costs and a high level of the income statement. The financial audit of the profit and loss account is subsequent and implies a scheduledverification after the end of the financial year and submission of yearly statements to financialadministration, as a confirmation that this activity was efficient, did not result in frauds. It thusfollows that there is a direct relationship between the initial control proposed at the beginning ofthe building project and the final verification materialised through the annual financial audit.

Keywords

• assets
• risk
• control
• objectives
• fraud