tilintunnistetuksen

Tilintunnistetuksen is a Finnish term that translates to "financial statement auditing" or "audit of financial statements" in English. It refers to the independent examination of an entity's financial statements by a qualified auditor. The primary objective of tilintunnistus is to provide assurance that the financial statements are free from material misstatement and present a true and fair view of the entity's financial position, performance, and cash flows.

The process of tilintunnistus involves various procedures, including understanding the entity's business and its internal control system, assessing risks of material misstatement, performing audit tests on account balances and transactions, and evaluating the overall presentation of the financial statements. Auditors gather evidence through inquiries, observation, inspection of documents, and confirmation with third parties.

A key outcome of tilintunnistus is the auditor's report, which accompanies the financial statements. This report expresses the auditor's opinion on whether the financial statements comply with applicable accounting standards and regulations. The opinion can be unqualified (clean), qualified, adverse, or a disclaimer of opinion, depending on the findings of the audit.

Tilintunnistus is a crucial element of corporate governance and financial reporting. It enhances the credibility of financial information, builds trust among stakeholders such as investors, creditors, and regulators, and contributes to the efficient functioning of capital markets. In Finland, the responsibility for appointing auditors and overseeing the audit process often lies with the shareholders at the annual general meeting.