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 and apply relevant 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. demonstrate an understanding of the financial report audit process, beginning with accepting clients through to 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. identify assertions at risk of material misstatement and apply appropriate audit procedures to test the assertions identified for major transaction types and account balances;
7. describe 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;
9. communicate effectively in written form about auditing related issues and problems using appropriate arguments and reflections.

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: https://exams.anu.edu.au/timetable/

Required Resources

Prescribed Text

Pratt, M., Van Peursem, K., and Garg, M., (2023) Auditing Theory and Practice Australasian Edition, 1st Edition, Cengage Learning (Print ISBN: 9780170458955 OR eTextbook ISBN: 9780170461801)

Students are expected to have access to a copy of the prescribed book for the duration of the semester. The text may be available for short-term loan in the reserve loan section of the Chifley Library. An e-book version of the text may be available from the Library in due course. The link to the library e-book will be published on Wattle once available.

Recommended Resources

Recommended Readings

Australian Auditing Standards can be downloaded free of charge from http://www.auasb.gov.au

Gay, G. and Simnett, R., (2018) Auditing and Assurance Services in Australia, 7th Edition, McGraw-Hill Australia (An ebook version of the text is available from the Chifley Library (https://anu.primo.exlibrisgroup.com/permalink/61ANU_INST/1csbe8o/cdi_proquest_ebookcentral_EBC5729228).

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). Feedback can also be provided to Course Conveners and teachers via the Student Experience of Learning & Teaching (SELT) feedback program. SELT surveys are confidential and also provide the Colleges and ANU Executive with opportunities to recognise excellent teaching, and opportunities for improvement.

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 Integrity 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. 

 

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 overviewRead the textbook: Chapters 1 & 2	None
2	Lecture: Ethics, audit quality and corporate governanceRead the textbook: Chapter 3 & 4Tutorial one	Week 2 Tutorial
3	Lecture: Audit risk and materialityRead the textbook: Chapters 6 & 7Tutorial two	Week 3 Tutorial
4	Lecture: Overview and planning of the financial report auditRead the textbook: Chapter 8, 9 & 10Tutorial three	Week 4 Tutorial
5	Lecture: Understanding and assessing internal controlsRead the textbook: Chapter 11Tutorial four	Week 5 Tutorial
6	Lecture: Tests of controlsRead the textbook: Chapter 12Read the recommended textbook: Chapter 8Tutorial five	Week 6 Tutorial
7	Lecture: In-Class QuizTutorial six	Week 7 TutorialIn-Class Quiz
8	Lecture: Substantive tests of transactions and balancesRead the textbook: Chapter 14 & 15Read the recommended textbook: Chapter 9Tutorial seven	Week 8 TutorialLearning Journal due
9	Lecture: Audit samplingRead the textbook: Chapter 13Tutorial eight	Week 9 Tutorial
10	Lecture: Completing the auditRead the textbook: Chapter 16Tutorial nine	Week 10 Tutorial
11	Lecture: Audit reporting & auditors’ legal liabilityRead the textbook: Chapters 17 & 5Tutorial ten	Week 11 Tutorial
12	Lecture: Other assurance services & course reviewRead the textbook: Chapter 18, 19 & 20Tutorial eleven	Week 12 Tutorial

Tutorial Registration

Tutorials will be held weekly on campus (starting from Week 2). Tutorial times will be made available via MyTimetable. Two weeks before the commencement of semester, please check the MyTimetable website for details of tutorial availability and release.

ANU utilises MyTimetable to enable students to view the timetable for their enrolled courses, browse, then self-allocate to small teaching activities/tutorials so they can better plan their time. Find out more on the Timetable webpage.

Please see Wattle for tutors’ information.

Assessment Summary

Assessment task	Value	Due Date	Return of assessment	Learning Outcomes
Tutorial Preparation	10 %	31/07/2023	31/08/2023	1,2,3,4,5,6,7,8
In-class quiz	20 %	19/09/2023	03/10/2023	1,2,3,4,5,6
Learning Journal	5 %	29/09/2023	13/10/2023	1,2,3,4,5,6,8
Final Examination	65 %	02/11/2023	30/11/2023	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 Integrity Rule before the commencement of their course. Other key policies and guidelines include:

• Academic Integrity Policy and Procedure
• Student Assessment (Coursework) Policy and Procedure
• Special Assessment Consideration Guideline and General Information 
• Student Surveys and Evaluations
• Deferred Examinations
• Student Complaint Resolution Policy and Procedure
• Code of practice for teaching and learning

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 Skills 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

Course delivery: on-campus lecture (recording on Echo360) and weekly on-campus tutorials.

Attendance at all classes, while not compulsory, is expected in line with “Code of Practice for Teaching and Learning”, clause 2 paragraph (h).

Examination(s)

Information regarding permitted examination materials for the course will be available on the examination timetable website when the examination timetable is released: https://exams.anu.edu.au/timetable/

Assessment Task 1

Tutorial Preparation

There will be weekly on-campus tutorials for this course. 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 submissions 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

In-class quiz

This assessment will be an 80-minute multiple choice quiz that will be administered during the lecture time in Week 7. Further details and instructions on how to prepare for the test will be given during the earlier lectures.

Online invigilation tools may be used for in-class quizzes. Details will be provided no later than Week 4.

The due date listed in the assessment summary is based on the Preliminary timetable. The final timetable will be released on 13th June.

Feedback: Quiz marks will be available on Wattle grade book in Week 9. Quiz attempts will be available for viewing by attending course convener's weekly consultation.

Assessment Task 3

Learning Journal

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

Instructions: Submit via Turnitin as an individual assignment.

Due: 5pm on 29 September (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.

Penalties: Any portion in excess of the 10% allowance of the word limit will not be marked/considered. Late submission of this assessment task without an extension will be penalised at the rate of 5% of the possible marks available per working day or part thereof. Late submission of this assessment task will not be 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.

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.

This is a hurdle assessment in line with the student assessment coursework policy (see https://policies.anu.edu.au/ppl/document/ANUP_004603).

All course learning outcomes are examinable in the final examination.

The final exam will be an in-person exam with a duration of 3 hours writing time plus 15 minutes reading time 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. 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. The University’s students are an integral part of that community. The academic integrity principle commits all students to engage in academic work in ways that are consistent with, and actively support, academic integrity, and to uphold this commitment by behaving honestly, responsibly and ethically, and with respect and fairness, in scholarly practice.

The University expects all staff and students to be familiar with the academic integrity principle, the Academic Integrity Rule 2021, the Policy: Student Academic Integrity and Procedure: Student Academic Integrity, and to uphold high standards of academic integrity to ensure the quality and value of our qualifications.

The Academic Integrity Rule 2021 is a legal document that the University uses to promote academic integrity, and manage breaches of the academic integrity principle. The Policy and Procedure support the Rule by outlining overarching principles, responsibilities and processes. The Academic Integrity Rule 2021 commences on 1 December 2021 and applies to courses commencing on or after that date, as well as to research conduct occurring on or after that date. Prior to this, the Academic Misconduct Rule 2015 applies.

 

The University commits to assisting all students to understand how to engage in academic work in ways that are consistent with, and actively support academic integrity. All coursework students must complete the online Academic Integrity Module (Epigeum), and Higher Degree Research (HDR) students are required to complete research integrity training. The Academic Integrity website provides information about services available to assist students with their assignments, examinations and other learning activities, as well as understanding and upholding academic integrity.

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 quizzes and examinations.

Referencing Requirements

The Academic Skills website has information to assist you with your writing and assessments. The website includes information about Academic Integrity including referencing requirements for different disciplines. There is also information on Plagiarism and different ways to use source material.

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 Access 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