Objectives and Requirements:

Auditing 1 is designed to assist students in developing professional competence and skills to:

·to explore the concepts and procedures of an external audit, which, when performed by an independent professional accountant, adds value to a set of financial statements prepared by management

·to survey the ethical and legal environment in which the professional accountant works

·to develop the framework within which audits are conducted, including the concepts of evidence, materiality, risk, and audit planning

·to illustrate how the audit of the various cycles is conducted, including the use of statistical and non-statistical sampling to determine what evidence to gather

·to consider the procedures for completing the audit

·to explain how the accountant communicates the results of the audit and determines the appropriate opinion to issue

Contents:

Introduction to Auditing, Professional Standards, Ethics, and Legal Liabilities, Audit Objectives, Evidence, and Documentation, Planning, Materiality, and Risk, Internal Control, Audit sampling, Computer Auditing, Revenue and Collection Cycle, and Acquisition and Expenditure Cycle,

Inventory and Capital Asset Balances, Production and Payroll Cycles, and Finance and Investment Cycle and

Investments, Long-term Debt, Shareholders’ Equity Balances, and Completion of the Audit.

Credits: 4