Handbook : Unit informationEdith Cowan University

Faculty of Business and Law

School: Business

This unit information may be updated and amended immediately prior to semester. To ensure you have the correct outline, please check it again at the beginning of semester.

• Unit Title

  Auditing and Assurance Services

• Unit Code

  ACC6030

• Year

  2015

• Enrolment Period

  1

• Version

  1

• Credit Points

  20

• Full Year Unit

  N

• Mode of Delivery

  On Campus
  Online

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Description

This unit covers both theoretical concepts and practical auditing techniques, including, auditing framework, standards, audit procedures, auditors decision-making processes, and reporting. It adopts a risk-based approach in evaluating the material misstatement related to the risks of the corporations being audited. This unit emphasises the external audit of corporations by professional auditors from their engagement to the issue of their independent opinion, in an ethical environment. Students develop judgemental, appraisal, problem-solving, team work, written and oral communications skills using realistic case studies.

Prerequisite Rule

Students must pass 1 units from ACC6015

Learning Outcomes

On completion of this unit students should be able to:

1. Analyse the financial report audit process and plan the audit.
2. Appraise internal controls, test the controls, substantive tests.
3. Compose the auditors independent opinion.
4. Distinguish ethics, independence and corporate governance.
5. Examine the auditing and assurance environment, profession and role of standards.

Unit Content

1. Audit review, follow-up procedures, completion of audit and client communication.
2. Audit strategy, planning, evidence, experts, quality control and supervision.
3. Auditing and assurance framework, Australian standards (based on international standards), guidelines and pronouncements.
4. Auditors professional duty of care, negligence, legal duties and liabilities.
5. Auditors reporting obligations to form their independent opinion.
6. Entitys business risk, control risk, inherent risk and its environment.
7. Going concern assumptions, appropriateness, problems and mitigating factors.
8. Internal control, testing of internal controls and internal audit.
9. Professional code of ethics, audit independence corporate failures and fraud.
10. Substantive testing and information systems audit.

Additional Learning Experience Information

Using realistic case studies, students are required to take on the role of an external company auditor to conduct the risk based audit in an audit team, and to issue their independent auditors opinion. On-campus students will be expected to interactively participate in a weekly seminar of three hours duration. Each seminar will comprise activities, such as, lectures, case studies, problem-solving discussions and presentations. The duration and order of each of these seminar activities may vary from time to time. For off-campus students, weekly study materials and review will be available from Blackboard. Regular online access to Blackboard and emails will be required for both on-campus and off-campus students.

Assessment

GS1 GRADING SCHEMA 1 Used for standard coursework units

Students please note: The marks and grades received by students on assessments may be subject to further moderation. All marks and grades are to be considered provisional until endorsed by the relevant Board of Examiners.

Text References

• ^ The Institute of Chartered Accountants in Australia. (2014). Auditing and assurance handbook 2014. Sydney: John Wiley & Sons.
• ^ Gay, G., & Simnett, R. (2012). Auditing and assurance services in Australia (5th ed.). North Ryde: Prentice-Hall.
• ^ Roebuck, P., & Martinov-Bennie, N. (2010). Case studies in auditing and assurance (5th ed.). Chatswood: LexisNexis Butterworths.
• Leung, P., Coram, P., & Cooper, B. (2011). Modern auditing and assurance services (5th ed.). Milton: John Wiley & Sons.
• Arens, A., Elder, R., & Beasley, M. (2012). Auditing and assurance services: An integrated approach (14th ed.). New Jersey: Prentice-Hall.

^ Mandatory reference

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