Monash University Handbook 2010 Undergraduate - Unit

Synopsis

An introduction to auditing covering the responsibilities, functions and qualities of the auditor and some of the statutory matters. It covers a review of the audit process from planning to the completion of the audit and includes the going concern concept; fraud and error; audit evidence; engagement and planning; internal controls and substantive procedures; completion of the audit and special audit investigations. The tests of control and substantive tests performed on the following business cycles are also included: revenue and receipts; acquisitions and payments; inventory and production; payroll and personnel; finance and investment.

Objectives

The learning goals associated with this unit are to:

• explain and describe the general principles of auditing, the responsibilities, functions and qualities of the auditor and illustrate knowledge of a proper background to auditing
• explain and describe the audit process from planning to the completion of the audit, assess audit risk and determine materiality
• explain and describe all the relevant issues regarding the going concern concept and reliance on other parties, and to apply these on various simulated practical situations/in various audits
• identify, describe and examine internal controls in the context of external auditing, and to plan and apply that knowledge in simulated practical situations and to make recommendations in that regard
• apply tests of control and substantive testing to the business cycles
• yapply critical thinking, problem solving and presentation skills to individual and/or group activities dealing with auditing and demonstrate in an individual summative assessment ask the acquisition of a comprehensive understanding of the topics covered in AFW2760.

Assessment

Within semester assessment: 30%
Examination (3 hours): 70%

Contact hours

39 hours per semester

Prerequisites

AFW1002, BTW1201

Prohibitions

AFW2041, AFW3941, AFW3942