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Pedagogy of the oppressed 1972

29/03/2021 Client: saad24vbs Deadline: 2 Day

Rationale The subject aims to familiarise the student to some of the key tools used by auditors for collecting and evaluating evidence, in both manual and computerised accounting information systems, so as to enable them to express an opinion on the fair presentation of financial reports. The subject also aims to provide students with an insight into the current environment in which auditors operate, including legal liability, ethical and other professional aspects such as the “audit expectation gap”. As such, the subject provides both a conceptual and practical approach to external, as well as internal and public sector auditing, enabling students to gain a complete picture of the audit process in light of contemporary audit issues. In addition, the subject aims to enhance a number of generic skills through both the formal components of assessment and the student’s class participation. These include: research, problem solving, and analytical skills; written and presentation skills; and interaction skills.

This individual assignment aims to provide students with an appreciation of the initial stage of the audit process known as audit planning. Specifically, it allows students to develop an understanding of the steps involved in developing an audit plan. Students are required to follow the structure approach specified in Moroney et al., 2014, Auditing A Practical Approach 2e, Wiley.

Learning outcomes

On successful completion of this unit, students should be able to: - Develop an appreciation of the reasons for the existence of a societal demand for audit and assurance services, and an understanding of the current environment in which auditors operate, including legal, ethical and professional aspects - Demonstrate an understanding of the key auditing principles, concepts and practices used by auditors to gather evidence and make judgments in order to form an audit opinion on the fair presentation of financial reports - Develop an insight into the audit of specific transactions and account balances - Be aware of the auditor’s responsibility in completing an audit - Obtain basis understanding of other types of assurance engagement

Background There are two parts to the assignment. The first part requires students to set up an entity’s books in MYOB and process transactions to relevant accounts. The second part requires students to prepare a document for the Audit Manager. Part A You have recently graduated from VU and are now working for a small accounting firm. The firm recently purchases MYOB software for internal use. Upon learning that you had learnt MYOB as part of your study, the firm’s partner asks you to set up and process a number of transactions into relevant accounts. Required 1. Set up the firm on MYOB. 2. The financial year must be 1 April 2015 to 31 March 2016 3. Process the transactions listed in Part A_MYOB_S12016 into relevant accounts. 4. Print out and submit reports for the year ended 31 March 2016. Part B 1. You have recently been appointed external auditor of the entity. You are assisting your Audit Manager in planning for the audit of the entity’s financial statements. 2. You are required to download the annual report published by the following entity: - Pacific Star Network Network Limited (http://www.pacificstarnetwork.com.au/) 3. Using information from chapters 3 and 4 of the textbook, prepare a document for your Audit Manager. Your document must include key information set out below. 4. You have accepted and communicated your decision to the client in the engagement letter. The audit fee is $65,000. Required With reference to Chapters 3 and 4 of the textbook, prepare a document for your Audit Manager. Your document must include the followings: 1. Executive summary 2. Introduction 3. Key information:

a) Gain an understanding the client b) Identify five (5) significant accounts most at risk of being materially

misstated c) Set planning materiality d) Assess what can go wrong (audit risk assessment) for each of the five (5)

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