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Unit information: Auditing in 2016/17

Please note: you are viewing unit and programme information for a past academic year. Please see the current academic year for up to date information.

Unit name Auditing
Unit code EFIM30016
Credit points 20
Level of study H/6
Teaching block(s) Teaching Block 2 (weeks 13 - 24)
Unit director Mrs. Sam Bell
Open unit status Not open
Pre-requisites

EFIM10005 Fundamentals of Accounting and Finance 1 OR ACCG10052 Introduction to Accounting

Co-requisites

None

School/department School of Accounting and Finance
Faculty Faculty of Social Sciences and Law

Description

A theoretical approach to the practical underpinnings of auditing will be adopted which will have significance to both international and domestic students.

Broadly speaking this unit covers four parts: the auditing industry and its surroundings; auditing concepts and techniques, auditing procedures for business functions, and current issues regarding auditing practice.

Aims to equip students with a sound understanding of the theory, principles and practice of auditing, as well as training on methodology and research skills.

Intended learning outcomes

Students should be able to: 1. Explain how auditing theory, concepts and principles underpin auditing practice; 2. Recall the basic postulates of auditing and explain why they are important; 3. Define the auditing concepts under the general headings of credibility of the auditor, process of audit, communication by the auditor and performance of the auditor’s work; 4. Explain the implications of truth and fairness in relation to financial statements and the work of the auditor; 5. Explain the significance of the concept of materiality; 6. Explain that the regulatory framework of auditing provides the criteria by which audits are conducted and encompasses the concepts of auditing; 7. Explain how organisations attempt to control their internal environments in the context of external influences; 8. Explain the importance of auditor independence and the practical implications for the auditor in meeting the demands of the audit role; 9. Explain the meaning and significance of auditor independence, discuss the threats to independence and how they might be overcome; 10. Explain how various kinds of conflict and risk can affect the independence of the auditor; 11. Use suitable case law to illustrate the responsibilities of auditors and how these have developed over time; 12. Discuss current debates in auditing and possible trends of topical issues.

Teaching details

10 Two-hour lectures

8 Classes

This pattern of teaching may be changed slightly to accommodate the Easter Vacation.

Assessment Details

Summative assessment: Three-hour closed-book examination in the Summer term: 100%

Formative assessment: Class questions and associated class contributions

Reading and References

Variable from year to year as Auditing Standards are updated.

Indicative reading:

Modern Auditing 4th Edition (Neil Rodda, Graham Cosserat, published by Wiley)

Other supportive texts:

The Audit Process (Gray, Manson & Crawford)
Current Issues in Auditing (ed. Sherer & Turley)
Creative Accounting, Fraud and International Accounting Scandals by Michael J. Jones.

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