Auditing and Assurance I
The financial statement audit under Canadian Auditing Standards, from acceptance to the signed report: assurance and the roles of the AASB and CPAB, ethics, independence and CSQM 1 quality management, legal liability after Hercules and Livent, planning and understanding the entity under CAS 315, materiality and the audit risk model, internal control and NI 52-109, assertions and audit evidence, attribute and monetary unit sampling, auditing revenue, receivables, cash, payables, inventory and payroll, fraud, going concern and evaluating misstatements, and the auditor's report with key audit matters under CAS 700 and 701, following one invented TSX-listed retailer throughout.
ACCT-331 Year 3 3 credits 12 lessons · 5 h 45 min
Offered by HSM University · Accounting
This is the Canadian version of this course. See the American version.
What you'll learn
- Explain the purpose of an audit, the levels of assurance, and the roles of the AASB, CPA bodies and CPAB.
- Apply the conceptual framework of threats and safeguards to independence and ethics problems, including non-audit services and partner rotation.
- Describe a firm's system of quality management under CSQM 1 and the role of the engagement quality review.
- Analyze auditors' legal liability to clients and third parties under Hercules, Livent and provincial securities law.
- Evaluate client acceptance, plan an audit and perform preliminary analytical procedures to identify risk areas.
- Set overall materiality, performance materiality and a clearly trivial threshold, and apply the audit risk model.
- Evaluate internal control, test controls and grade deficiencies, including management certification under NI 52-109.
- Match audit procedures to assertions and evaluate whether evidence is sufficient and appropriate, including analytics and journal entry testing.
- Design and evaluate attribute and monetary unit samples, computing sample sizes and upper limits.
- Design substantive procedures for revenue, receivables, cash, purchases, payables, inventory and payroll.
- Evaluate fraud risk, going concern, subsequent events and accumulated misstatements, using quantitative and qualitative factors.
- Determine the appropriate auditor's report, including modified opinions and key audit matters under CAS 700, 701 and 705.
Course content
12 lessons · 5 h 45 min total · final exam
- 1 Assurance and the role of the auditor: Canadian standards and CPAB 30 min · quiz
- 2 Professional ethics, independence and quality management 30 min · quiz
- 3 Legal liability of auditors 27 min · quiz
- 4 Client acceptance, planning and understanding the entity 28 min · quiz
- 5 Materiality and audit risk 28 min · quiz
- 6 Internal control and the response to assessed risks 29 min · quiz
- 7 Audit evidence and procedures 30 min · quiz
- 8 Audit sampling 29 min · quiz
- 9 Auditing revenue, receivables and cash 29 min · quiz
- 10 Auditing purchases, payables, inventory and payroll 27 min · quiz
- 11 Fraud, going concern and completing the audit 30 min · quiz
- 12 The auditor's report, key audit matters and capstone 28 min · quiz
- E Final exam 20 questions
Requirements
Recommended background. You can start any course at any time.
Description
The financial statement audit under Canadian Auditing Standards, from acceptance to the signed report: assurance and the roles of the AASB and CPAB, ethics, independence and CSQM 1 quality management, legal liability after Hercules and Livent, planning and understanding the entity under CAS 315, materiality and the audit risk model, internal control and NI 52-109, assertions and audit evidence, attribute and monetary unit sampling, auditing revenue, receivables, cash, payables, inventory and payroll, fraud, going concern and evaluating misstatements, and the auditor's report with key audit matters under CAS 700 and 701, following one invented TSX-listed retailer throughout.
Part of the Business stream, typically taken in year 3.