Audit-Financial Accounting will discuss, in detail, the auditing process of financial statements starting from what an audit is, as well as what the terms attest engagement and assurances services mean.
We will discuss the audit environment, the general format of a public accounting firm, and the general format of an audit team that would conduct the procedures related to an audit. The course will also discuss regulations and regulatory institutions related to the audit process.
Students will learn the different formats of audit evidence and how to document audit evidence so that it can be used as evidence to support the conclusion and opinion of the auditor.
We will examine the internal controls of the organization. Internal controls are policies set up by management to achieve the objectives of the organization. As auditors, we are primarily concerned with internal controls that will lower the risk of financial statements being materially misstated. If we can rely on internal controls as an auditor, we may be able to do more testing of the controls and less substantive testing, and this can be more efficient.
Students will then learn how to put together a standard audit report. The standard audit report is called an unqualified report. It is beneficial to actually memorize or have a good idea of the format of the standard unqualified report.
The Audit And Attestation Engagements will cover the following topics:
Section 1 - Introduction
Section 2 - Auditing Environment
Section 3 - Audit Planning, Audit Tests, And Materiality
Section 4 - Risk Assessment
Section 5 - Audit Evidence
Section 6 - Internal Controls
Section 7 - Audit Sampling: Tests Of Controls
Section 8 - Substantive Tests
Section 9 - Revenue Process Audit
Section 10 - Purchasing Process Audit
Section 11 - Payroll And Human Resources Audit
Section 12 - Inventory Audit
Section 13 - Prepaid Expenses, Intangible Assets And Property Plant And Equipment Audit
Section 14 - Long Term Debt And Equity
Section 15 - Cash And Cash Equivalents
Section 16 - Audit Reports
Section 17 - Professional Conduct, Independence, And Quality Control
