FINANCIAL AUDIT (4 Credits)

Learning Outcomes:

On successful completion of this course, student will be able to: LO1 – Define sampling and data analytics in audit; LO2 – Demonstrate activities required in completing a quality audit; LO3 – Explain audit report for financial statement audit; LO4 – Define the objective and role of external auditing for reliable financial and internal control information; LO5 – Explain auditor legal liability and professional auditing standard; LO6 – Demonstrate technique and procedure used by auditor in audit process.

Topics:

1. Completing a Quality Audit;
2. Auditing Long-Lived Assets and Merger and Acquisition Activity;
3. Auditing Inventory, Goods and Services, and Accounts Payable: The Acquisition and Payment Cycle;
4. Auditing Cash, Marketable Securities, and Complex Financial Instruments;
5. Auditing Debt, Equity, and Long-Term Liabilities Requiring Management Estimates;
6. Specialized Audit Tools: Attributes Sampling, Monetary Unit Sampling, and Data Analytics Tools;
7. Internal Control Over Financial Reporting: Responsibilities of Management and the External Auditor;
8. Quality Auditing: Why It Matters; Professional Auditing Standards and the Audit Opinion Formulation Process;
9. Audit Evidence;
10. Professional Legal Liability;
11. Auditing the Revenue Cycle;
12. Audit Reports for Financial Statement Audits;
13. Planning the Audit: Identifying, Assessing, and Responding to the Risk of Material Misstatement;
14. The Auditor’s Responsibilities Regarding Fraud and Mechanisms to Address Fraud: Regulation and Corporate Governance.