Authorised by Academic Registrar, April 1996
Objectives On completion of this subject students should understand the impact of computers on internal control structures; be familiar with the nature and assessment of general and application controls; distinguish between different types of processing modes and consider their impact on the internal control structure; understand the unique internal controls associated with micro computers, EDI and EFT systems; understand the nature and purpose of audit techniques forecast of risk assessment and substantive testing as well as computerised decision aids and expert systems; obtain a detailed working knowledge of audit software techniques and their practical application in an audit context; demonstrate an indepth knowledge of auditing issues via presentations and a research report.
Synopsis The subject will examine how electronic data processing (EDP) has affected control aspects of modern accounting systems and audit methodology. In addition to discussing the impact of computer-based accounting on the principles of auditing theory, students will use case studies and various audit techniques to examine the practical consideration in applying the theory. Control and audit issues will be examined in several processing environments including batch, on-line, database, and EFTS and EDI. In particular the increasing importance of microcomputers will be examined. As well as other issues, the role of the auditor will be covered in for example, the systems development lifecycle, as will the use of expert systems and decision support systems by auditors. The students will be exposed to most of the techniques currently being used for compliance and substantive testing. Emphasis will be placed on current issues and developments in auditing
Assessment Research assignment: 50% + Case study: 20% + Two class presentations: 30%