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 tutorial assignments are used to demonstrate how the methodology is applied in practical situations.

Learning Outcomes

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

1. discuss the need for an independent or external audit and describe briefly the development of the role of the assurance provider in modern business society;
2. explain the regulatory environment in which the external 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 standards issued by the Australia Professional Ethical Standards Board) 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 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. understand auditors’ legal liabilities, and be able to apply case law in making a judgment whether auditors might be liable to certain parties;
8. describe other assurance and non-assurance services provided by the auditing and assurance profession, and, for assurance services, understand the level of assurance provided.In addition, the course aims to develop students’ cognitive skills (especially analytical, appreciative, and communication skills).

Research-Led Teaching

To achieve the goals, this course draws upon business practices, contemporary and international research, case studies, and applied research experiences of the course convener.

Examination Material or equipment

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., (2018) Auditing and Assurance Services in Australia, 7^th Edition, McGraw-Hill Australia

Students are expected to have access to a copy of the prescribed book for the duration of the semester. A few copies of the text are available for 2 hour loan in the reserve loan section of the Chifley Library. An ebook version of the text is available from the Chifley Library (https://library.anu.edu.au/record=b6460171).

Recommended Resources

Recommended Reading

Australian Auditing Standards can be downloaded free of charge from 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 all the within semester assessment tasks
• Verbal feedback will be given during 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

As a further academic integrity control, students may be selected for a 15 minute individual oral examination of their written assessment submissions.

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 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.

 

Announcements

Students are expected to check the Wattle site for announcements about this course, e.g. changes to timetables or notifications of cancellations.

Class Schedule

Week/Session	Summary of Activities	Assessment
1	Lecture: Assurance, auditing, the structure of the profession: an overview Read the textbook: Chapters 1 & 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: Chapters 4 (except for page 155-161) & 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 (p363-391) Tutorial six	Week 7 Tutorial
8	Lecture: Substantive tests of transactions and balances (II) Read the textbook: Chapter 9 (p391-412) Tutorial seven	Week 8 Tutorial Learning Journal due
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
11	Lecture: Audit reporting & auditors’ legal liability Read the textbook: Chapters 12 & 2 (from page 63) Tutorial ten	Week 11 Tutorial
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.

Tutorials will be available face-to-face or through live Zoom class. Enrolment for tutorials, and times of the classes will be made available on Wattle in O-week. 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
Tutorial Preparation	10 %	28/02/2022	01/04/2022	1,2,3,4,5,6,7,8
Mid-semester exam	20 %	28/03/2022	06/05/2022	1,2,3,4,5,6
Learning Journal	5 %	29/04/2022	13/05/2022	1,2,3,4,5,6,8
Final Examination	65 %	02/06/2022	30/06/2022	1,2,3,4,5,6,7,8

* 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 Academic Integrity . 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

Course delivery: on-campus lecture (recording on Echo360) and weekly tutorials delivered in hybrid format (on-campus and live Zoom sessions). Please check Wattle for details closer to the start of semester.

Students are encouraged to participate in the discussions at the online forum and/or Zoom consultation sessions. Although the participation will not be assessed, it will help you to achieve better understanding and performance overall.

Examination(s)

Online invigilation tools may be used for the examination. Details will be provided no later than Week 4 (for mid-semester exam) and Week 10 (for final exam).

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/

Assessment Task 1

Tutorial Preparation

Tutorials will be available face-to-face or through live Zoom class. It is expected that students will attempt all pre-assigned questions and take notes when attending the tutorials. Tutorial Assignments will be submitted via Turnitin on Four (4) occasions during the semester. These weeks will be selected at random; with the first submission by Week 5. The collection will be announced at the start of the tutorial, with Turnitin submission due by the end of the Tutorial. Tutorial Assignments will account for 10% of the assessment (2.5% for each submission) and the marked assignments will be returned in the following week. More details will be given and explained to you at the first week’s lecture. Tutorials commence in Week 2.

Due Date: The due date listed in the assessment summary is the earliest possible date. This assessment task is assessed weekly.

Feedback: Marked randomly collected tutorial assignments will be returned to the students one week after each random collection and total marks for the tutorial assignments will be available on Wattle by the end of week 12.

Assessment Task 2

Mid-semester exam

Mid-semester exam will be a 60-minute multiple choice question on Wattle test. More instructions on how to prepare for the test will be given during the earlier lectures. Further details for the test scheduled by the university will be provided once the timetable for the mid-semester exam is finalised.

Online invigilation tools may be used for the mid-semester examination. Details will be provided no later than Week 4.

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.

Feedback: Mid semester exam marks will be available on Wattle grade book, two weeks after the test date. Exam scripts will be available for viewing by attending course convener's weekly consultation.

Assessment Task 3

Learning Journal

Suggested length: Maximum 250 words (+/- usual 10% allowance); sufficient and succinct.

Instructions: Submit via Turnitin as an individual assignment.

Due: 5pm on 29 April (Week 8)

Details of the requirement for learning journal will be posted on Wattle by Week 4.

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 assignment.

Feedback: Marks and written feedback should be available within the submission link on Wattle, two weeks after the due date.

Assessment Task 4

Final Examination

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

All course learning outcomes are examinable in the final examination.

The final exam will be a 3 to 3.5 hours long online Wattle exam and will account for 65% of the overall course mark. The format of the exam will be similar to the practice paper that will be provided on Wattle (available by Week 12). The exam will primarily cover the audit process of historical financial statements. The legal liability and the other assurance services will also be examinable to certain extent.

Online invigilation tools may be used for the final examination. Details will be provided no later than Week 10.

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.

Feedback: Exam scripts will be available for viewing by contacting the course convener after grades have been released.

Academic Integrity

Academic integrity is a core part of the ANU culture as a community of scholars. At its heart, academic integrity is about behaving ethically, committing to honest and responsible scholarly practice and upholding these values with respect and fairness.

The ANU commits to assisting all members of our community to 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 be familiar with the academic integrity principle and Academic Misconduct Rule, 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 Academic Misconduct Rule is in place to promote academic integrity and manage academic misconduct. Very minor breaches of the academic integrity principle may result in a reduction of marks of up to 10% of the total marks available for the assessment. The ANU offers a number of online and in person services to assist students with their assignments, examinations, and other learning activities. Visit the Academic Skills website for more information about academic integrity, your responsibilities and for assistance with your assignments, writing skills and study.

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

Individual assessment tasks may allow for late submission. Policy regarding late submission is detailed below:

• Late submission permitted. 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 on Wattle or via emails (details for returning the assignments will be on Wattle).

Extensions and Penalties

Extensions and late submission of assessment pieces are covered by the Student Assessment (Coursework) Policy and Procedure. Extensions may be granted 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