ACC/492 - Contemporary Auditing II

Course Description

This course is the second in a two-part series that deals with auditing a company's financial reports, internal controls, and Electronic Data Processing (EDP) systems. Topics include the personnel and payroll system, inventory, capital acquisition cycle, selected balance sheet and income statement accounts, audit reports, assurances and other services, professional ethics, and legal responsibilities.

This undergraduate course is 5 weeks.

PLEASE NOTE:
Attendance and participation are mandatory in all university courses, and specific requirements may differ by course. If attendance requirements are not met, a student may be removed from the course. Please review the Course Attendance Policy in the Catalog for more information.

Course Objectives

Preparing for Phase Two or Fieldwork of an Audit: Gathering Audit Evidence and Sampling

• Specify the characteristics that determine the persuasiveness of evidence.
• Apply the eight types of evidence used in auditing.
• Explain the purposes of audit documentation and prepare organized audit documentation.
• Distinguish between statistical and non-statistical sampling and between probabilistic and non-probabilistic sample selection.
• Differentiate audit sampling for tests of details of balances and for tests of controls and substantive tests of transactions.

Auditing Key Accounts and Business Cycles: Cash, Sales, and Receivables

• Perform audit tests of the general cash account.
• Perform tests of controls and substantive tests of transactions for cash receipts.
• Perform tests of controls and substantive tests of transactions for sales.
• Perform audit procedures for the audit of accounts receivable.

Key Accounts and Business Cycles: Cash, Sales, and Receivables

• Explain the five parts of the audit of the inventory and warehousing cycle.
• Apply analytical procedures to the accounts in the inventory and warehousing cycle.
• Integrate the various parts of the audit of the inventory and warehousing cycle.
• Perform tests of controls and substantive tests of transactions for the payroll and personnel cycle.

Auditing Key Accounts and Business Cycles: Accounts Payable, PPE, Prepaid Expense, Accrued Liabilities, and Owners Equity

• Perform audit tests of property, plant and equipment; prepaid expenses; and accrued liabilities.
• Perform audit tests of notes payable and related accounts and transactions.
• Identify the primary concerns in the audit of owners’ equity transactions.

Completing the Audit

• Conduct a review for contingent liabilities, letters from the client’s lawyers, and post-balance-sheet review for subsequent events.
• Specify the conditions required to issue the standard unqualified audit report.
• Explain reporting on financial statements and internal control under PCAOB auditing standards.

Disclaimers

The University of Phoenix reserves the right to modify courses.

While widely available, not all programs are available in all locations or in both online and on-campus formats. Please check with an Enrollment Representative.

Transferability of credit is at the discretion of the receiving institution. It is the student’s responsibility to confirm whether or not credits earned at University of Phoenix will be accepted by another institution of the student’s choice.