Module catalogue

AC6068 - Audit and Assurance Services (2024/25)

Module specification

Module approved to run in 2024/25

Module title

Audit and Assurance Services

Module level

Honours (06)

Credit rating for module

School

Guildhall School of Business and Law

Total study hours

150

9 hours	Assessment Preparation / Delivery
105 hours	Guided independent study
36 hours	Scheduled learning & teaching activities

Assessment components

Type	Weighting	Qualifying mark	Description
Coursework	40%		Individual report - 1000 words
Unseen Examination	60%		3 hour closed book exam

Running in 2024/25

(Please note that module timeslots are subject to change)

Period	Campus	Day	Time	Module Leader
Spring semester	North	Thursday	Afternoon

Module summary

Module aims:

1. To provide an understanding of the concept of audit and assurance incorporating the functions of audit in context to corporate governance which includes the ethics and professional conduct knowledge. This further includes internal and external audit review and reporting functions in context of the regulatory frameworks and professional and ethical dimensions of audit practice,

2. To critically appraise and evaluate the audit process which demonstrate how the auditors understands, regulate, obtain and accept the audit engagements consisting the entity and its environment appropriate techniques and judgments in relation to the performance and reporting of financial statement (including the risk of material misstatement – arising from fraud or other externalities or internalities) while performing audit and assurance services,

3. To develop advanced skills in forming judgements and opinions whilst exercising an appropriate degree of professional judgement and professional scepticism in audit and assurance engagements. This includes the description and evaluation of the internal controls, processes, techniques, audit tests. Further incorporating IT systems identification and communication process to control risk and the potential consequences to make effective recommendations. The description of the scope, role and the function of internal audit is also included.

4. Understanding the application of the international Standards on Auditing (ISAs) and the ability to distinguish between external and internal audit. This includes full evaluation of the internal controls using the appropriate audit software, test data and the data analytics tool; further identifying, describing the work and the evidence obtained by the auditors.

5. The demonstration of employability and technological skills. Explanation of the subsequent events, going concern principle that can inform the auditors about the conclusion of their audit work providing true reflection of the auditor’s report, presentation, written representations and the final review and report.

Syllabus

1. The concept of audit and other assurance engagements, nature and function of the external audit process (LO1)

2. Legal, regulatory and corporate governance frameworks of audit and assurance services, fraud, international audit standards and code of ethics, Audit planning and documentation (LO1)

3. Internal control; Auditing business processes Internal audit and governance and the differences between external audit and internal audit. Including the following:
a) control environment
b) the entity’s risk assessment process,
c) The entity’s process to monitor the system of internal control
d) The information system and communication
e) Control activities (LO2)
4. Substantive procedures, computer-assisted audit techniques. The scope of the internal audit function, outsourcing and internal audit assignments (LO2/LO3)

5. Audit review and finalisation- completing the audit and reporting responsibilities. Assertions and audit evidence, Audit sampling and other means of testing (LO2/LO3)

6. Current issues in audit; the audit report; Automated tools and techniques (LO3)

7. Internal audit and governance and the differences between external audit and internal audit (LO3/LO4)

8. Review and reporting; including going concern, written representation, reports, and final reviews and reports of auditors; IAS (International Audit Standard) (LO4/LO5)

9. Independent Auditors review, Employability and technological skills, computer knowledge for relevant information interpretation and manipulation. Use of appropriate tools for data and information presentation. (LO5)

Balance of independent study and scheduled teaching activity

Scheduled teaching activity is a weekly two-hour lecture and a one-hour seminar. Independent study is supported by practical seminar examples, case studies, past exam questions and current articles and video clips from online accountancy and audit journals, ft.com, ICAEW economia website, FRC and professional accountancy bodies and the websites of the professional accountancy and audit firms.

Learning outcomes

On completing of the module students will be able to:

LO1: Understand the concept of audit and assurance incorporating the functions of audit in context to corporate governance which includes the ethics and professional conduct knowledge.

LO2: Critically appraise and evaluate the audit process which demonstrate the audit engagements consisting the entity and its environment appropriate techniques and judgments while performing audit and assurance services,

LO3: Implement advanced skills in forming judgements and opinions using the knowledge of the internal controls, processes, techniques, audit tests; use IT systems identification and communication process to control risk incorporating potential consequences to make effective recommendations.

LO4: Understand the application of the international Standards on Auditing (ISAs) and the ability to distinguish between external and internal audit; evaluate the internal controls using the appropriate audit software, test data and the data analytics tool; further identifying, describing the work and the evidence obtained by the auditors.

LO5: Demonstrate employability and technological skills. Further explaining the following concepts:

a) Going concern
b) Auditors report reflection
c) Final review and report

Bibliography

Library Talis Link:
https://rl.talis.com/3/londonmet/lists/2B9F6EF9-AC44-66F3-EDA1-04AC7AC1AF74.html?draft=1&lang=en-GB&login=1

Textbooks:

Essential readings:

Gray S., Manson S. and Crawford L. ( 2019 ) The Audit Process – Principles, Practice and Cases Seventh edition Cengage Learning

Eilifsen A., Messier W., Glover S. and Prawitt D. ( 2014 ) Auditing and Assurance Services ( Third International Edition ) McGraw Hill