Professional Documents
Culture Documents
Weight
5%
ACL Assignment
Midterm Exam
(covers Sessions 1 - 6)
Group Risk Analysis Assignment
Session 9, July 16
Session 7, July 2 Location: TBA
5%
25%
10%
Final Exam
Total
15%
40%
100%
Session 2
Thursday, May 28
Description
The Demand for Auditing, The Public Accounting
Profession
Learning Objectives:
1. Identify the components of an audit and explain
why there is a demand for audits
2. Distinguish between accounting and auditing
3. Explore the different types of auditors and what they
do
4. Understand the responsibilities of public
accountants
5. Explain generally accepted auditing standards
(GAAS)
6. Examine the characteristics of quality control for
public accounting firms. Explain how quality
control is managed.
Overview of the Audit Process and the Standard
Independent Audit Report
Learning Objectives:
1. Review the objective of conducting an audit of
financial statements
2. Understand the purpose of the standard audit report
3. Distinguish between managements and the
auditors responsibilities for the financial statements
Session
Session 2 contd
Description
4. Understand the role of professional skepticism in
fraud risk assessment and the conduct of the audit
5. Understand the importance of auditor independence
and understand how to conduct an independence
threat analysis
6. Understand how transactions are related within key
financial statements cycles. Apply the cycle
approach to planning the financial statement audit
7. Understand the role of entity-level controls in cycles
and assessing risk in the audit
8. Understand and apply management assertions to
develop audit objectives for classes of transactionbalances, and presentation and disclosure.
9. Describe the audit process.
Session 3
Thursday, June 4
Learning Objectives:
CPA Handbook:
CAS 210
CAS 240
CAS 500
Session
Session 3 contd
Description
collects to develop the client risk profile and assess
client business risk
7. Understand and develop analytical procedures at the
planning stage to determine risk of material
misstatement at the financial statement and account
level
Session 4
Thursday, June 11
Learning Objectives:
1. Understand and apply the components of the audit
risk model to assess achieved audit risk
2. Describe the factors the auditor considers when
assessing inherent risks
3. Understand and apply quantitative and qualitative
factors to determine the appropriate materiality for
the overall financial statements,
4. Develop an appropriate allocation of materiality to
segments and performance materiality
5. Understand the relevance of materiality in
conducting the audit and the relationship between
materiality and audit risk
Session 5
Thursday, June 18
REQUIRED READING:
Chapter 7 - Materiality And Risk
CPA Handbook:
CAS 200
CAS 315
CAS 320
CAS 450
Assignment and Class Work
Discussion/practice questions:
9-33, 9-34, Little City Payroll (course web site),
Acco, Segregation of Duties
Individual Hand In- Assignment #2 due
Session
Session 6
Thursday, June 25
Description
internal control.
2. Compare managements concerns about internal
control with those of the auditor.
3. Describe the inherent limitations of internal control.
4. Understand the fraud triangle and apply to analysis
of risk of fraudulent financial reporting and
misappropriation of assets.
5. Describe the COSO components of internal control
and provide examples of each component.
6. Use the COSO model to assess internal control risk
7. Understand the two audit strategies of (i) a
substantive approach and (ii) a combined approach
and using risk assessment to determine when each
approach is approach is appropriate
8. Understand auditors responsibility for reporting
significant control weaknesses to management and
those in charge of governance
9. Assess controls and develop recommendations for
the management letter
REQUIRED READING:
Chapter 9-Internal Controls and Control Risk:
CPA Handbook
CAS 240
CAS 265
CAS 330
CAS 500
CAS 520
CAS 505
Learning Objectives:
1. Describe the nature of audit evidence and the five
evidence decisions made during the audit process
2. Describe the seven general methods of evidence
collection and provide examples of each
3. Evaluate the reliability of evidence in specific
REQUIRED READING:
Chapter 8 Audit Evidence (p. 213-232, 239-241)
Chapter 6 Nature of Audit Working Papers (p.
168- 172)
Chapter 10 Audit Strategy and Audit Program
Session
Session 6 contd
Session 7
Thursday, July 2nd
Session 8
Thursday, July 9th
Description
situations
4. Evaluate the appropriateness of evidence given the
risk and relevant assertion
5. Describe three specific situations when collection of
audit evidence is mandated and assess when this
type of evidence-gathering is required
6. Understand and evaluate quality of working paper
documentation
7. Review the nature of an audit strategy and the role
of audit planning in the financial statement audit
process.
8. Describe the purpose of an audit program and relate
the five types of audit tests to the overall risk
summary and to the audit strategy.
9. Describe the methodology for designing tests for
controls and substantive tests in the audit program.
Link the methodology to the selection of audit tests
by assertion.
Session
Session 8 contd
Description
Learning Objectives:
Thursday, July 16
Learning Objectives:
1. Describe major risks of error or fraud in the sales
and collection cycle
2. Identify and describe typical records, transactions
and business functions in the sales cycle.
3. Understand and analyze sales and acquisition
controls and provide recommendations (for
management letter)
4. State the relationship between overall audit planning
risks and risks for sales and collection assertions
5. Develop analytical procedures for planning for the
Session
Session 9 contd
Session 10
Thursday, July 30
Description
Assignments and Readings
sales and collection cycle.
CAS 240
6. Design tests of controls sales and collection cycle
CAS 505
by assertion.
7. Design substantive tests (analytical procedures and
tests of detail) for sales and collection, by assertion,
using a risk-based approach.
8. Develop the process for confirming accounts
receivable confirmations and for following up nonreplies
Break (no class) Thursday, July 23
Application of the Audit Process: The Acquisition and Assignment and Class Work
Payment Cycle; the Inventory and Distribution Cycle
Discussion/practice question:
16-21, 16-24, 16-25, 17-20 Inventory Cases Posted
Learning Objectives:
to Course Website
1. Describe major risks of error or fraud in the
acquisition and payment cycle.
2. Describe the major business functions, documents,
records and internal controls in the acquisition and
payment cycle.
3. Understand and analyze acquisition and payment
controls and provide recommendations (for
management letter)
4. Develop analytical procedures for planning for the
acquisition and payment cycle.
5. Develop tests of controls for the acquisition and
payment cycle, by assertion, using a risk-based
approach.
6. Develop an audit program, by assertion, for a
system conversion in accounts payable.
REQUIRED READING:
Chapter 16 - Audit of the Acquisition and Payment
Cycle
Chapter 17 Audit of the Inventory and
Distribution Cycle
CPA Handbook:
CAS 550
CAS 501
Session
Description
7. Design substantive tests (analytical procedures and
tests of detail) for accounts payable, by assertion,
using a risk-based approach.
8. Application of the audit process (as listed above) to
the inventory and distribution cycle
Session 11
Thursday, August 6
Learning Objectives:
Session 12
Thursday, August
13th
REQUIRED READING
Chapter 3 -- Professional Relationships: The role
of ethics and independence (Omit Independence
Section)
Chapter 4 Legal Liability (Table 4-2, p. 77- 86,
Section 4 Prevention Omit Section 5)
Individual Hand In- Assignment #3 due
(See Course Website)
CPA Handbook
Section 5020
CAS 220
CPA Ontario Handbook - Rules of Professional
Conduct (available from http://www.cpaontario.ca/
Assignment and Class Work
Discussion/practice questions: Textbook 19-17,
19-18, 20-20, Gabby Case
Group Risk Assessment Assignment Due Today
Session
Session 12 contd
Session 13
Description
1. Describe final audit procedures for presentation and
disclosure.
2. Describe how the auditor searches for contingent
liabilities, commitments, and contingent assets
3. State the purpose of obtaining external confirmation
from the clients law firms and assess law firm
responses
4. Distinguish between subsequent events requiring
adjustment and those requiring disclosure
5. Provide examples of work completed as part of the
evidence-gathering process
6. Provide the purpose of and examples of auditor
communications with the audit committee and
management
7. Review the requirements for a standard unqualified
audit report and describe the variations that can
occur in unqualified reports
8. Apply professional judgment to determine when it is
necessary to issue a qualified opinion, an adverse
opinion, or a disclaimer of opinion
CPA Handbook
CAS 240
CAS 250
CAS 260
CAS 450
CAS 501
CAS 520
CAS 550
CAS 560
CAS 570
CAS 580
CAS 620
CAS 700
CAS 705
CAS 706
Final Examination
TBA
examination at the scheduled time or to submit their outstanding course work on the last
day of classes. In order to apply for deferred standing, students must complete a Deferred
Standing Agreement (DSA) form and submit their request no later than five (5) business
days from the date of the exam. The request must be properly submitted with supporting
documentation directly to the main office of the School of Administrative Studies (282
Atkinson), NOT to the Course Director. These requests will be considered on their merit
and decisions will be made available to the students by the main office in the School's web
site (under the heading of 'Links'), no individualized communication will be sent by the
School to the students (no letter or e-mails). The status of the DSA submitted shall be
checked at: http://apps.eso.yorku.ca/apps/adms/deferredexams.nsf
Students with approved DSA will be able to write their deferred examination during the
School's deferred examination period. No further extensions of deferred exams shall be
granted. The format and covered content of the deferred examination may be different
from that of the originally scheduled examination. The deferred exam may be closed book,
cumulative and comprehensive and may include all subjects/topics of the textbook
whether they have been covered in class or not. Any request for deferred standing on
medical grounds must include an Attending Physician's Statement form; a Doctors Note
will not be accepted.
DSA Form: http://www.registrar.yorku.ca/pdf/deferred_standing_agreement.pdf
Attending Physician's Statement form:
http://www.yorku.ca/laps/council/students/documents/APS.pdf
The deferred examinations for the Summer 2015 term shall be held during the last two
weeks of September 2015.
Academic Honesty: The Faculty of Liberal Arts and Professional Studies considers
breaches of the Senate Policy on Academic Honesty to be serious matters. To quote the
Senate Policy on Academic Honesty. The Policy on Academic Honesty is an affirmation
and clarification for members of the University of the general obligation to maintain the
highest standards of academic honesty. As a clear sense of academic honesty and
responsibility is fundamental to good scholarship, the policy recognizes the general
responsibility of all faculty members to foster acceptable standards of academic conduct
and of the student to be mindful of and abide by such standards. Suspected breaches of
academic honesty will be investigated and charges shall be laid if reasonable and probable
grounds exist.
Students should review the York Academic Honesty policy for themselves at:
http://www.yorku.ca/secretariat/policies/document.php?document=69
Students might also wish to review the interactive on-line Tutorial for students on
academic integrity, at: http://www.yorku.ca/tutorial/academic_integrity/
Grading Scheme and Feedback Policy: The grading scheme (i.e. kinds and weights of
assignments, essays, exams, etc.) shall be announced, and be available in writing, within
the first two weeks of class, and, under normal circumstances, graded feedback worth at
least 15% of the final grade for Fall, Winter or Summer Term, and 30% for full year
courses offered in the Fall/Winter Term be received by students in all courses prior to the
final withdrawal date from a course.
Note: Under unusual and/or unforeseeable circumstances which disrupt the academic
norm, instructors are expected to provide grading schemes and academic feedback in the
spirit of these regulations, as soon as possible. For more information on the Grading
Scheme and Feedback Policy, please visit:
http://www.yorku.ca/secretariat/policies/document.php?document=86
In-Class Tests and Exams - the 20% Rule: For all Undergraduate courses, except those
which regularly meet on Friday evening or on a weekend, tests or exams worth more than
20% will not be held in the two weeks prior to the beginning of the official examination