THE KING'S UNIVERSITY
AND WEEKLY TIME DISTRIBUTION:
||credits 3(hrs lect 3 - hrs sem 0 - hrs lab 0)
||Examines the economic role of financial statement
auditing for public companies, addressing ethical requirements such as
independence, competence and objectivity, management of audit
engagements, audit objectives, analytical procedures, major accounting
cycles, internal control and audit objectives, evidence gathering
techniques, sampling, and reporting.
||Text: Alvin A. Arens, Randal J. Elder, Mark
S. Beasley, Ingrid B. Splettstoesser, Auditing: The Art and
Science of Assurance Engagements, Canadian Twelfth Edition (2013);
DISTRIBUTION IN PERCENT:
||Upon successful completion of this course, students
will be able to:
- 1 Explain the role of auditors and audit standards.
- Differentiate and explain the difference between
the role of an auditor and accountant.
- Explain quality control standards.
- 2 Plan an audit.
- Explain the audit standards that an auditor must
- Explain client acceptance and retention procedures
and evaluate the desirability of accepting or retaining a client.
- Assess audit risk, determine materiality.
- 3 Evaluate an entity’s control environment.
- The following concepts, skills, and issues are used
to support this Outcome:
- Explain the impact of COSO, entity-level and
- Evaluate an audit client’s key internal control
strengths and weaknesses and recommend areas for improvement.
- 4 Recommend procedures to evaluate the internal
control environment and audit key account balances.
- Explain sampling risk and sampling techniques.
- Create an audit plan by integrating our assessment
of management assertions and objectives over account balances and
- Design audit procedures and evaluate the quality
and types of audit evidence.
- 5 Differentiate between assurance engagements and the
reports used in each.
- Evaluate the evidence obtained and finalize the
- Recommend an appropriate audit report.
- Distinguish between the different types of
assurance and non-assurance services.
Introduction to Auditing (Chapters 1 and 2)
Auditor's Report and Responsibilities (Chapters 4 and 19)
Professional Ethics, Audit Objectives, Phases of the Audit, and Audit
Evidence (Chapters 3, 5, and 9)
Audit Planning, Materiality, and Risk (Chapters 6 and 7)
Introduction to Internal Control, Assessment of Control Risk, and Audit
Program Concepts (Chapters 8 and Chapter 10)
Audit Sampling (Chapter 11)
Audit of the Sales and Receivables Cycle and Cash Balances (Chapters 12
Audit of the Acquisition and Payment Cycle (Chapter 13)
Audit of the Inventory and Payroll Cycles (Chapters 14 and 15)
10: Completion of the
Audit and Fraud (Assessment and Management) (Chapter 18 and Chapter 6
[pp. 148–155 only])
Required texts, assignments, and grade distributions
from one offering of this course to the next. Please consult
the course instructor for up to date details.