ACCTING 3502 - Auditing

North Terrace Campus - Semester 2 - 2022

Audit comprises a fundamental component of the recurrent and strategic activities of nearly all professional occupations. While a small group of jobs focus exclusively on internal and external audit tasks, the majority of commerce graduates will utilise the principles and practices of risk assessment, internal control, systems evaluation and forensic accountability in their professional lives. This course thus aims to provide an introduction to the principles and practices of auditing. In this context, it will also outline and critically examine contemporary audit issues and challenges.

  • General Course Information
    Course Details
    Course Code ACCTING 3502
    Course Auditing
    Coordinating Unit Accounting
    Term Semester 2
    Level Undergraduate
    Location/s North Terrace Campus
    Units 3
    Contact Up to 3 hours per week
    Available for Study Abroad and Exchange Y
    Prerequisites ACCTING 2501
    Assumed Knowledge 48 units of Program attempted and passed
    Course Description Audit comprises a fundamental component of the recurrent and strategic activities of nearly all professional occupations. While a small group of jobs focus exclusively on internal and external audit tasks, the majority of commerce graduates will utilise the principles and practices of risk assessment, internal control, systems evaluation and forensic accountability in their professional lives. This course thus aims to provide an introduction to the principles and practices of auditing. In this context, it will also outline and critically examine contemporary audit issues and challenges.
    Course Staff

    Course Coordinator: Dr Jin Ma

    Course Timetable

    The full timetable of all activities for this course can be accessed from Course Planner.

    Tutorials commence in the second week of lectures
  • Learning Outcomes
    Course Learning Outcomes

    On successful completion of this course, students will be able to:

    1) Articulate knowledge of fundamental audit concepts.
    2) Apply critical thinking skills and solve auditing problems through the use of case studies.
    3) Demonstrate the use of Auditing, Assurance Standards and the Code of Ethics for professional Accountants.
    4) Explain the legal framework under which Australian company audits are conducted and apply the professions code of conduct.
    5) Demonstrate the ability to undertake research on significant auditing issues and to keep up-to-date with developments in auditing theory and practice.
    6) Outline the role of auditing in society.
    University Graduate Attributes

    This course will provide students with an opportunity to develop the Graduate Attribute(s) specified below:

    University Graduate Attribute Course Learning Outcome(s)

    Attribute 1: Deep discipline knowledge and intellectual breadth

    Graduates have comprehensive knowledge and understanding of their subject area, the ability to engage with different traditions of thought, and the ability to apply their knowledge in practice including in multi-disciplinary or multi-professional contexts.

    1,2,3,4,5,6

    Attribute 2: Creative and critical thinking, and problem solving

    Graduates are effective problems-solvers, able to apply critical, creative and evidence-based thinking to conceive innovative responses to future challenges.

    2,3,4,5,6

    Attribute 3: Teamwork and communication skills

    Graduates convey ideas and information effectively to a range of audiences for a variety of purposes and contribute in a positive and collaborative manner to achieving common goals.

    4

    Attribute 4: Professionalism and leadership readiness

    Graduates engage in professional behaviour and have the potential to be entrepreneurial and take leadership roles in their chosen occupations or careers and communities.

    1,2,3,4,5,6

    Attribute 5: Intercultural and ethical competency

    Graduates are responsible and effective global citizens whose personal values and practices are consistent with their roles as responsible members of society.

    2,3,4

    Attribute 8: Self-awareness and emotional intelligence

    Graduates are self-aware and reflective; they are flexible and resilient and have the capacity to accept and give constructive feedback; they act with integrity and take responsibility for their actions.

    4
  • Learning Resources
    Required Resources

    There is one prescribed book for this subject:

    Textbook

    Title: Auditing and Assurance Services in Australia (Seventh Edition).

    Authors: Gay G. and Simnett R.

    Date of Publication: 2018

    Publisher: McGraw-Hill



    Recommended Resources

    Students may find the following sources helpful in attempting to master the course material. All books listed below can be borrowed from the library.

    Books


    Title:  Audit and Assurance (First Edition).

    Authors:Leung, P.,  Coram, P., Cooper, B.J. and Richardson, P.

    Date of Publication: 2019.

    Publisher: Wiley



    Title: Auditing and Assurance Services A systematic Approach (4th Edition)

    Authors: W F Messier Jr, S M Glover, and D F Prawitt 2006.

    McGraw Hill Irwin

    New York


    Understanding the New Auditing Standards Related to Risk Assessment

    American Institute of Certified Public Accountants 2006.

    American Institute of Certified Public Accountants

    New York

    Other resources in the Barr Smith Library


    Australian Financial Review

    Business Review Weekly

    Acuity (Journal of the Institute of Chartered Accountants in Australia and New Zealand)

    In The Black (Journal of CPA Australia)

    The business sections of daily newspapers

     
    Web sites

    www.cpaaustralia.com.au ( CPA Australia)

    https://www.charteredaccountantsanz.com/ (Institute of Chartered Accountants in Australia and New Zealand)

    www.auasb.gov.au ( Auditing and Assurance Standards Board)

    www.frc.gov.au (Financial Reporting Council)

    www.asic.gov.au (Australian Securities and Investments Commission)

    www.apesb.org.au  (Accounting professional and Ethical Standards Board)

    Online Learning
    This course uses Canvas extensively. The following material will be posted prior to and during the semester:
     Echo 360 recordings of lectures
     Handouts of lecture slides
     Readings
     Assessment information
     Announcements
     Marks for in-course assessments
  • Learning & Teaching Activities
    Learning & Teaching Modes
    The prime delivery mode is through one lecture and one tutorial per week. Lectures are of one hour fifty minutes duration in total. Lectures are recorded, and are posted on Canvas. 

    Tutorial classes of fifty minutes duration and commence in week two.  Tutorials are an essential component of this course. Membership of tutorial classes is to be finalised by the end of the second week of semester. Students wishing to swap between tutorial classes after this time are required to present their case to the Lecturer-in-Charge, but should be aware that such a request may not be approved. Students are strongly advised to attend all tutorials.

    Students are expected to come to tutorials well prepared.  The communication skills developed in tutorials by regularly participating in discussions are considered to be most important by the School, and are highly regarded by employers and professional bodies.

    Answers to Tutorial Questions will not be provided.




    Workload

    The information below is provided as a guide to assist students in engaging appropriately with the course requirements.

    The University expects full-time students to devote a total of 48 hours per week to their studies. This means that for this course students are expected to commit approximately nine hours of private study, that is, study outside classes. Students in this course are expected to attend all lectures and tutorials through the term.
    Learning Activities Summary
    The following topics are covered in this course. For a more detailed outline of what is covered each week, please see the document titled, "Overview of Topics", which can be found under "Lecture and Tutorial Outlines" on the MyUni site for this course.

    Week 1: Introduction to assurance and auditing; an overview of the auditing process.

    Week 2: Understanding the role of management in the preparation of financial reports. Fundamental audit concepts.

    Week 3: Fundamental audit concepts.

    Week 4: Fundamental audit concepts.

    Week 5: Data in the audit

    Week 6: Client acceptance. Planning the audit: knowledge of the business and evaluating business risk.

    Week 7: Planning the audit: Assessing specific business risks and materiality

    Week 8: Understanding the client's internal controls and testing internal  controls

    Week 9: Substantive tests and completing the audit (part 1)

    Week 10: Completing the audit (part 2); and  the auditor’s reporting obligations.

    Week 11: The professional and regulatory environment (part a) 

    Week 12: The professional and regulatory environment (part 2)  and contemporary issues in auditing.

    Revision Lecture
  • Assessment

    The University's policy on Assessment for Coursework Programs is based on the following four principles:

    1. Assessment must encourage and reinforce learning.
    2. Assessment must enable robust and fair judgements about student performance.
    3. Assessment practices must be fair and equitable to students and give them the opportunity to demonstrate what they have learned.
    4. Assessment must maintain academic standards.

    Assessment Summary
    Assessment Task Weighting Date Learning Outcome
    Mid Semester Test 30% Week 7 1,2, 3, 5 and 6
    Exam 70% Exam Period 1,2,3,4,5 and 6
    Total: 100%
    Please Note:To pass this course, students must achieve a mark of 50% in the exam and 50% overall.

    Further information on assessment is provided under the tab titled, "Assessment Detail".
    Assessment Detail

    No information currently available.

    Submission
    The Mid Semester Test will be undertaken via the Quiz funtion in MyUni.


    Course Grading

    Grades for your performance in this course will be awarded in accordance with the following scheme:

    M10 (Coursework Mark Scheme)
    Grade Mark Description
    FNS   Fail No Submission
    F 1-49 Fail
    P 50-64 Pass
    C 65-74 Credit
    D 75-84 Distinction
    HD 85-100 High Distinction
    CN   Continuing
    NFE   No Formal Examination
    RP   Result Pending

    Further details of the grades/results can be obtained from Examinations.

    Grade Descriptors are available which provide a general guide to the standard of work that is expected at each grade level. More information at Assessment for Coursework Programs.

    Final results for this course will be made available through Access Adelaide.

  • Student Feedback

    The University places a high priority on approaches to learning and teaching that enhance the student experience. Feedback is sought from students in a variety of ways including on-going engagement with staff, the use of online discussion boards and the use of Student Experience of Learning and Teaching (SELT) surveys as well as GOS surveys and Program reviews.

    SELTs are an important source of information to inform individual teaching practice, decisions about teaching duties, and course and program curriculum design. They enable the University to assess how effectively its learning environments and teaching practices facilitate student engagement and learning outcomes. Under the current SELT Policy (http://www.adelaide.edu.au/policies/101/) course SELTs are mandated and must be conducted at the conclusion of each term/semester/trimester for every course offering. Feedback on issues raised through course SELT surveys is made available to enrolled students through various resources (e.g. MyUni). In addition aggregated course SELT data is available.

  • Student Support
  • Policies & Guidelines
  • Fraud Awareness

    Students are reminded that in order to maintain the academic integrity of all programs and courses, the university has a zero-tolerance approach to students offering money or significant value goods or services to any staff member who is involved in their teaching or assessment. Students offering lecturers or tutors or professional staff anything more than a small token of appreciation is totally unacceptable, in any circumstances. Staff members are obliged to report all such incidents to their supervisor/manager, who will refer them for action under the university's student’s disciplinary procedures.

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