This course is primarily focused on the external audit of corporate financial statements while also covering other assurance services, professional ethics, and legal liabilities. The lectures presented are structured to correspond with auditing process in theory and practice, and inevitably integrate Australian and International Auditing Standards.

The majority of the lectures deal with the various activities undertaken by external auditors. The main stages of the audit process are addressed including risk analysis in auditing, audit planning and documentation, fraud auditing, gathering and evaluating audit evidence (including performance of tests of controls and substantive audit procedures) and the formation of the audit opinion. Other topics, including auditors' legal responsibilities, audit quality and ethics, and other assurance services, are also dealt with as special topics.

The lectures mainly deal with the concepts underlying the methodology, while the cases and discussion questions are used to demonstrate how the methodology is applied in practical situations. Research papers assist students with better understanding otherwise abstract auditing concepts and motivate students to further study the specific areas they may be more interested in.
 

Learning Outcomes

Upon successful completion, students will have the knowledge and skills to:

1. discuss the need for an independent audit and assurance function, and briefly describe the development of the role of the external and internal assurance provider in modern business society;
2. explain the regulatory environment in which the auditor operates (including relevant sections of the Corporations Act 2001 and the auditing standards issued by the Australian Auditing and Assurance Standards Board (AUASB) as well as the ethical pronouncements issued by the Accounting Professional and Ethical Standards Board (APESB), and apply those rules, standards and pronouncements to the conduct of a financial report audit and other assurance engagements;
3. describe the quality control procedures necessary to ensure that a competent assurance engagement is performed, and apply professional ethics including Code of Conduct to specific scenarios;
4. understand the financial report audit process, beginning with accepting clients, followed by understanding the client, evaluating business risk and assessing inherent risk, performing tests of controls to assess control risk and substantive tests to reduce detection risk, considering subsequent events and evaluating evidence gathered, ending in the formation of an audit opinion and communication of the results to the client;
5. describe the various levels of persuasiveness of different types of audit evidence and explain the broad principles of audit sampling techniques;
6. for major transaction types and account balances, identify appropriate assertions at risk and apply appropriate audit procedures to test the assertions identified;
7. determine the appropriateness, in different circumstances, of different types of audit and review reports;
8. understand auditors’ legal liabilities, and be able to apply case law in making a judgement whether auditors might be liable to certain parties;
9. describe other assurance and non-assurance services provided by the auditing and assurance profession, and, for assurance services, understand the level of assurance provided; 10. develop students’ cognitive skills (especially analytical, appreciative, and communication skills) and behavioural skills (especially personal and interpersonal skills).

Research-Led Teaching

Current issues in accounting and auditing will be incorporated into teaching, wherever applicable, throughout the semester. To achieve the goals, this course draws upon business practices, contemporary and international research, case studies, and applied research experiences of the course convenor. Students are also encouraged to read articles or given parts of relevant research papers on certain debatable topics such as fraud and audit reporting.

Examination Material or equipment

Mid-term exam and final exam will be closed book exams. Calculators are not permitted and dictionaries are permitted for students with written approval from School.

Details regarding materials and equipment that is permitted in an examination room can be found on the ANU website:

http://www.anu.edu.au/students/program-administration/assessments-exams/examination-conduct

Information regarding permitted examination materials for the course will be available on the examination timetable website when the examination timetable is released:

http://timetable.anu.edu.au/

Required Resources

Prescribed Text

Gay, G. and Simnett, R., (2015) Auditing and Assurance Services in Australia, 7th Edition, McGraw-Hill Australia

Students are expected to have access to a copy of the prescribed book for the duration of the semester. The book can be purchased from the campus bookshop, with a small number of copies also available for 2 hour loan in the reserve loan section of the Chifley Library.

Recommended Resources

Recommended Reading

Australian Auditing Standards can be downloaded free of charge from the following website:

http://www.auasb.gov.au/

Staff Feedback

Students will be given feedback in the following forms in this course:

• Written comments will be given to the students for within semester assessment tasks
• Verbal feedback will be given during the lectures, tutorials, and consultations

Student Feedback

ANU is committed to the demonstration of educational excellence and regularly seeks feedback from students. Students are encouraged to offer feedback directly to their Course Convener or through their College and Course representatives (if applicable). The feedback given in these surveys is anonymous and provides the Colleges, University Education Committee and Academic Board with opportunities to recognise excellent teaching, and opportunities for improvement. The Surveys and Evaluation website provides more information on student surveys at ANU and reports on the feedback provided on ANU courses.

Other Information

ASSESSMENT REQUIREMENTS

Any student identified, either during the current semester or in retrospect, as having used ghost writing services will be investigated under the University’s Academic Misconduct Rule.

COMMUNICATION

Email and Forums on the Wattle Course Website

Email and the Wattle course website are the preferred ways of communication. Student forums are set up on Wattle for each topic and can be viewed by all enrolled students and teaching staff. Students are encouraged to post any questions they have in the appropriate forum.

If necessary, the lecturer and tutors for this course will contact students on their official ANU student email address. Students should use this email address when contacting staff as spam filters used by ANU may not allow other email addresses to be received. Information about your enrolment and fees from the Registrar and Student Services' office will also be sent to this email address.

 

Announcements

Students are expected to check the Wattle site for announcements about this course, e.g. changes to timetables or notifications of cancellations. Notifications of emergency cancellations of lectures or tutorials will be posted on the door of the relevant room.

Class Schedule

Week/Session	Summary of Activities	Assessment
1	Lecture: Assurance, auditing, the structure of the profession: an overview Read the textbook: Chapter 1 & Chapter 2 (up to page 63)	None
2	Lecture: Ethics, audit quality and corporate governance Read the textbook: Chapter 3 Tutorial One	Week 2 tutorial
3	Lecture: Overview and planning of the financial report audit Read the textbook: Chapter 4 (except for page 155-161) & Chapter 5 Tutorial Two	Week 3 tutorial
4	Lecture: Audit risk and materiality Read the textbook: Chapter 6 & Chapter 4 (page 155-161) Tutorial Three	Week 4 tutorial
5	Lecture: Understanding and assessing internal controls Read the textbook: Chapter 7 Tutorial Four	Week 5 tutorial
6	Lecture: Tests of controls Read the textbook: Chapter 8 Tutorial Five	Week 6 tutorial Mid-semester exam
7	Lecture: Substantive tests of transactions and balances (I) Read the textbook: Chapter 9 (page 363-391) Tutorial Six	Week 7 tutorial Learning Journal 1 due at the lecture time
8	Lecture: Substantive tests of transactions and balances (II) Read the textbook: Chapter 9 (page 391-412) Tutorial Seven	Week 8 tutorial
9	Lecture: Audit sampling Read the textbook: Chapter 10 Tutorial Eight	Week 9 tutorial
10	Lecture: Completing the audit Read the textbook: Chapter 11 Tutorial Nine	Week 10 tutorial Group Assignment due
11	Lecture: Audit reporting & auditors’ legal liability Read the textbook: Chapter 12 & Chapter 2 (from page 65) Tutorial Ten	Week 11 tutorial Learning Journal 2 due at the lecture time
12	Lecture: Other assurance services & course review Read the textbook: Chapter 13; online Chapters 14 & 15 Tutorial Eleven	Week 12 tutorial

Tutorial Registration

Please see Wattle for tutors’ information.

Tutorial signup for this course will be done via the Wattle website. Detailed information about signup times will be provided on Wattle. When tutorials are available for enrolment, follow these steps:

1. Log on to Wattle, and go to the course site.

2. Click on the link “Tutorial enrolment”

3. On the right of the screen, click on the tab “Become Member of ……” for the tutorial class you wish to enter.

4. Confirm your choice

If you need to change your enrolment, you will be able to do so by clicking on the tab “Leave group…” and then re-enrol in another group. You will not be able to enrol in groups that have reached their maximum number. Please note that enrolment in ISIS must be finalised for you to have access to Wattle.

Assessment Summary

Assessment task	Value	Due Date	Return of assessment	Learning Outcomes
Weekly Tutorial Preparation	6 %	04/03/2019	05/04/2019	1,2,3,4,5,6,7,8,9,10
Learning Journals for research papers/course materials 1	3 %	24/04/2019	01/05/2019	1,2,3,4,5,6,10
Learning Journals for research papers/course materials 2	4 %	22/05/2019	29/05/2019	1,2,3,4,5,6,10
Mid-semester exam	25 %	01/04/2019	13/05/2019	1,2,3,4,5,6,10
Group Assignment	12 %	15/05/2019	29/05/2019	2,4,6,7,10
Final Examination	50 %	06/06/2019	04/07/2019	2,3,4,5,6,7,8,9,10

* If the Due Date and Return of Assessment date are blank, see the Assessment Tab for specific Assessment Task details

Policies

ANU has educational policies, procedures and guidelines, which are designed to ensure that staff and students are aware of the University’s academic standards, and implement them. Students are expected to have read the Academic Misconduct Rule before the commencement of their course. Other key policies and guidelines include:

• Student Assessment (Coursework) Policy and Procedure
• Special Assessment Consideration Policy and General Information 
• Student Surveys and Evaluations
• Deferred Examinations
• Student Complaint Resolution Policy and Procedure

Assessment Requirements

The ANU is using Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. For additional information regarding Turnitin please visit the ANU Online website. In rare cases where online submission using Turnitin software is not technically possible; or where not using Turnitin software has been justified by the Course Convener and approved by the Associate Dean (Education) on the basis of the teaching model being employed; students shall submit assessment online via ‘Wattle’ outside of Turnitin, or failing that in hard copy, or through a combination of submission methods as approved by the Associate Dean (Education). The submission method is detailed below.

Moderation of Assessment

Marks that are allocated during Semester are to be considered provisional until formalised by the College examiners meeting at the end of each Semester. If appropriate, some moderation of marks might be applied prior to final results being released.

Participation

Students are encouraged to participate in the discussions at the lectures and tutorials. Although participation will not be assessed, it will help you to achieve better understanding and performance overall.

Assessment Task 1

Weekly Tutorial Preparation

Weekly tutorials will comprise guided individual and group activity directed at discussing possible solutions to pre-assigned questions. Tutorial preparation will be collected on THREE (3) occasions during the semester and marked by your tutors. The marked preparation will be returned in the following week’s tutorial. These weeks will be selected at random; with the first collection by Week 4. The first marked tutorial preparation will be returned in tutorial by Week 5 and marks for the first random tutorial preparation will be available on Wattle by Week 6.

Marks for each tutorial preparation will be allocated according to the following:

0-0.5 (out of 2): Limited or no evidence of preparation for tutorial, mostly incomplete responses. Student has copied answers from previous year tutorials.

1-1.5 (out of 2): Evidence that most questions have been attempted to a reasonable level.

2 (out of 2): Evidence of thorough and complete preparation on all questions.

Tutorials commence in Week 2.

Due Date: The due date listed in the assessment summary is the earliest possible date.

Assessment Task 2

Learning Journals for research papers/course materials 1

Suggested length: Maximum 180 words (+/- usual 10% allowance); sufficient and succinct.

Instructions: Submit as individual assignments.

Due: 1pm on 24 April (Week 7)

Details of the requirement for learning journals will be posted separately on Wattle.

The source of information used and the extent to which the work of others has been utilized need to be acknowledged following the guide for referencing stated in the assignments.

Assessment Task 3

Learning Journals for research papers/course materials 2

Suggested length: Maximum 200 words (+/- usual 10% allowance); sufficient and succinct.

Instructions: Submit as individual assignments.

Due: 1pm on 22 May (Week 11)

Details of the requirement for learning journals will be posted separately on Wattle.

The source of information used and the extent to which the work of others has been utilized need to be acknowledged following the guide for referencing stated in the assignments.

Assessment Task 4

Mid-semester exam

Mid-semester exam will be a 90 minute multiple choice and short answer test. The test will cover lectures & tutorial materials from lectures 1 to 5 inclusively. More instructions on how to prepare for the test will be given during the earlier lectures.

Centrally administered examinations through Examinations, Graduations & Prizes will be timetabled prior to the examination period. Mid-semester exams will be held in either Week 6 or Week 7. The due date listed in the assessment summary is the earliest possible date. Please check ANU Timetabling for further information. Exam scripts will not be returned. Students may review their exam scripts by appointment during scheduled sessions at the RSA School Office.

Assessment Task 5

Group Assignment

Suggested length: 1200 words (+/- usual 10% allowance); sufficient and succinct.

Instructions: Submit as a group with 3 or 4 group members. Please note that the same assessment criteria will be applied regardless of the number of members in the group.

Purpose:

1. Demonstrate knowledge of the financial reporting and auditing process;

2. Enhance understanding of the role of Accounting and Auditing Standards in the financial reporting and auditing practice;

3. Appreciate the link between theory and practice;

4. Explore ANU’s electronic databases and other information resources.

Due: 1pm on 15 May (Week 10)

Details of the assignment will be posted separately on Wattle.

The source of information used and the extent to which the work of others has been utilized need to be acknowledged following the guide for referencing stated in the assignments.

Assessment Task 6

Final Examination

Hurdle Assessment requirements: You will need to pass the final exam to pass the course.

The final examination will be a 150 minute closed book exam. Further details will be provided during final lectures. All course learning outcomes are examinable in the final examination.

Centrally administered examinations through Examinations, Graduations & Prizes will be timetabled prior to the examination period. The due date listed in the assessment summary is the earliest possible date. Please check ANU Timetabling for further information. Exam scripts will not be returned. Students may review their exam scripts by appointment during scheduled sessions at the RSA School Office.

Academic Integrity

Academic integrity is a core part of our culture as a community of scholars. At its heart, academic integrity is about behaving ethically. This means that all members of the community commit to honest and responsible scholarly practice and to upholding these values with respect and fairness. The Australian National University commits to embedding the values of academic integrity in our teaching and learning. We ensure that all members of our community understand how to engage in academic work in ways that are consistent with, and actively support academic integrity. The ANU expects staff and students to uphold high standards of academic integrity and act ethically and honestly, to ensure the quality and value of the qualification that you will graduate with. The University has policies and procedures in place to promote academic integrity and manage academic misconduct. Visit the following Academic honesty & plagiarism website for more information about academic integrity and what the ANU considers academic misconduct. The ANU offers a number of services to assist students with their assignments, examinations, and other learning activities. The Academic Skills and Learning Centre offers a number of workshops and seminars that you may find useful for your studies.

Online Submission

You will be required to electronically sign a declaration as part of the submission of your assignment. Please keep a copy of the assignment for your records. Unless an exemption has been approved by the Associate Dean (Education) submission must be through Turnitin.

Hardcopy Submission

For some forms of assessment (hand written assignments, art works, laboratory notes, etc.) hard copy submission is appropriate when approved by the Associate Dean (Education). Hard copy submissions must utilise the Assignment Cover Sheet. Please keep a copy of tasks completed for your records.

Late Submission

Late submission of assessment tasks without an extension are penalised at the rate of 5% of the possible marks available per working day or part thereof. Late submission of assessment tasks is not accepted after 10 working days after the due date, or on or after the date specified in the course outline for the return of the assessment item. Late submission is not accepted for take-home examinations.

Referencing Requirements

Accepted academic practice for referencing sources that you use in presentations can be found via the links on the Wattle site, under the file named “ANU and College Policies, Program Information, Student Support Services and Assessment”. Alternatively, you can seek help through the Students Learning Development website.

Returning Assignments

The assignments will be returned within two weeks after the due dates (details on how to collect your marked assignments will be on Wattle). You will need to bring your student ID to collect your assignment.

Extensions and Penalties

Extensions and late submission of assessment pieces are covered by the Student Assessment (Coursework) Policy and Procedure. The Course Convener may grant extensions for assessment pieces that are not examinations or take-home examinations. If you need an extension, you must request an extension in writing on or before the due date. If you have documented and appropriate medical evidence that demonstrates you were not able to request an extension on or before the due date, you may be able to request it after the due date.

Resubmission of Assignments

No resubmission of any assignment is permitted.

Privacy Notice

The ANU has made a number of third party, online, databases available for students to use. Use of each online database is conditional on student end users first agreeing to the database licensor’s terms of service and/or privacy policy. Students should read these carefully. In some cases student end users will be required to register an account with the database licensor and submit personal information, including their: first name; last name; ANU email address; and other information.
In cases where student end users are asked to submit ‘content’ to a database, such as an assignment or short answers, the database licensor may only use the student’s ‘content’ in accordance with the terms of service – including any (copyright) licence the student grants to the database licensor. Any personal information or content a student submits may be stored by the licensor, potentially offshore, and will be used to process the database service in accordance with the licensors terms of service and/or privacy policy.
If any student chooses not to agree to the database licensor’s terms of service or privacy policy, the student will not be able to access and use the database. In these circumstances students should contact their lecturer to enquire about alternative arrangements that are available.

Distribution of grades policy

Academic Quality Assurance Committee monitors the performance of students, including attrition, further study and employment rates and grade distribution, and College reports on quality assurance processes for assessment activities, including alignment with national and international disciplinary and interdisciplinary standards, as well as qualification type learning outcomes.

Since first semester 1994, ANU uses a grading scale for all courses. This grading scale is used by all academic areas of the University.

Support for students

The University offers students support through several different services. You may contact the services listed below directly or seek advice from your Course Convener, Student Administrators, or your College and Course representatives (if applicable).

• ANU Health, safety & wellbeing for medical services, counselling, mental health and spiritual support
• ANU Diversity and inclusion for students with a disability or ongoing or chronic illness
• ANU Dean of Students for confidential, impartial advice and help to resolve problems between students and the academic or administrative areas of the University
• ANU Academic Skills and Learning Centre supports you make your own decisions about how you learn and manage your workload.
• ANU Counselling Centre promotes, supports and enhances mental health and wellbeing within the University student community.
• ANUSA supports and represents undergraduate and ANU College students
• PARSA supports and represents postgraduate and research students