| Effective Term: | 2025/05 |
| Institute / School : | Institute of Innovation, Science & Sustainability |
| Unit Title: | Auditing |
| Unit ID: | BUACC3741 |
| Credit Points: | 15.00 |
| Prerequisite(s): | (BUACC1508) |
| Co-requisite(s): | Nil |
| Exclusion(s): | Nil |
| ASCED: | 080101 |
| Other Change: | |
| Brief description of the Unit |
This unit enables students to develop an understanding of the underlying concepts, practice, theory, legal and ethical issues of auditing. The unit considers the audit function as it relates to the assurance engagement framework and how legislation and accounting and auditing standards provide guidance on completing the audit. It also considers issues of auditor independence, ethical threats and safeguards client acceptance management assertions audit risk the internal control environment and the attainment of sufficient and appropriate audit evidence.Other areas include auditor liability and completion of the audit report. Each topic begins with a critical review of key theoretical concepts that are then applied to practical settings. |
| Grade Scheme: | Graded (HD, D, C, P, MF, F, XF) |
| Work Experience Indicator: |
| No work experience |
| Placement Component: No |
| Supplementary Assessment:Yes |
| Where supplementary assessment is available a student must have failed overall in the Unit but gained a final mark of 45 per cent or above, has completed all major assessment tasks (including all sub-components where a task has multiple parts) as specified in the Unit Description and is not eligible for any other form of supplementary assessment |
| Course Level: |
| Level of Unit in Course | AQF Level(s) of Course | | 5 | 6 | 7 | 8 | 9 | 10 | | Introductory | | | | | | | | Intermediate | | | | | | | | Advanced | | |  | | | |
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| Learning Outcomes: |
| Knowledge: |
| K1. | Identify and explain the nature and the purpose of auditing. |
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| K2. | Identify the internal and external factors influencing business operations and how they relate to the evaluation of audit risk. |
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| K3. | Evaluate the role played by the external auditor, internal auditor and audit committee in providing an appropriate level of assurance to stakeholders. |
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| K4. | Explain the regulatory and professional requirements of auditors, auditing standards and professional pronouncements. |
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| K5. | Identify sufficient and appropriate audit evidence as it relates to underpinning management assertions and the provision of an audit opinion. |
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| K6. | Critically evaluate recent developments in the field of auditing and the state of auditing theory and practice. |
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| K7. | Recognise and reflect on the importance of ethical and social considerations in accepting, planning and completing the audit. |
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| Skills: |
| S1. | Discuss the audit and assurance process and the role of auditng standards. |
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| S2. | Apply theoretical and practical knowledge of the audit function to gain an understanding of an organisations environment. |
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| S3. | Analyse audit risk by considering materiality and the levels of control and inherent risk in determining an appropriate level of detection risk. |
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| S4. | Critique the limitations of an audit in terms of sampling and non-sampling risk and how professional judgement impacts on the audit function. |
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| S5. | Collect and integrate information regarding a scenario, then analyse, evaluate and form an appropriate audit opinion. |
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| Application of knowledge and skills: |
| A1. | Apply appropriate auditing knowledge and skills in diverse business environments. |
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| A2. | Exercise critical thinking and judgement and apply it to the forming of an audit opinion. |
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| A3. | Use initiative and judgment to consider how professional scepticism and auditor independence impact on obtaining sufficient and appropriate evidence to verify management assertions. |
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| Unit Content: |
•the nature and function of different types of audit/assurance engagements
•ethical, professional and legal aspects of appointment to, and conduct of, audit/assurance engagements
•Audit trinity (external auditor/Internal auditor/audit committee)
•the audit risk model and planning audit/assurance engagements
•the design and conduct of appropriate audit/assurance tests
•evaluating audit/assurance evidence
•audit/assurance reporting
•internal and operational auditing and other assurance services
•current developments and controversies in auditing/assurance services |
| Graduate Attributes: |
| Federation University recognises that students require key transferable employability skills to prepare them for their future workplace and society. FEDTASKS (Transferable Attributes Skills and Knowledge) provide a targeted focus on five key transferable Attributes, Skills, and Knowledge that are be embedded within curriculum, developed gradually towards successful measures and interlinked with cross-discipline and Co-operative Learning opportunities. One or more FEDTASK, transferable Attributes, Skills or Knowledge must be evident in the specified learning outcomes and assessment for each FedUni Unit, and all must be directly assessed in each Course.
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| FED TASK and descriptor | Development and acquisition of FEDTASKS in the Unit | | Level | FEDTASK 1
Interpersonal | Students will demonstrate the ability to effectively communicate, inter-act and work with others both individually and in groups. Students will be required to display skills in-person and/or online in: • Using effective verbal and non-verbal communication • Listening for meaning and influencing via active listening • Showing empathy for others • Negotiating and demonstrating conflict resolution skills • Working respectfully in cross-cultural and diverse teams. | Level 2 - Student demonstrates some independence within provided guidelines | FEDTASK 2
Leadership | Students will demonstrate the ability to apply professional skills and behaviours in leading others. Students will be required to display skills in: • Creating a collegial environment • Showing self -awareness and the ability to self-reflect • Inspiring and convincing others • Making informed decisions • Displaying initiative | Level 2 - Student demonstrates some independence within provided guidelines | FEDTASK 3
Critical Thinking and Creativity | Students will demonstrate an ability to work in complexity and ambiguity using the imagination to create new ideas. Students will be required to display skills in: • Reflecting critically • Evaluating ideas, concepts and information • Considering alternative perspectives to refine ideas • Challenging conventional thinking to clarify concepts • Forming creative solutions in problem solving. | Level 2 - Student demonstrates some independence within provided guidelines | FEDTASK 4
Digital Literacy | Students will demonstrate the ability to work fluently across a range of tools, platforms and applications to achieve a range of tasks. Students will be required to display skills in: • Finding, evaluating, managing, curating, organising and sharing digital information • Collating, managing, accessing and using digital data securely • Receiving and responding to messages in a range of digital media • Contributing actively to digital teams and working groups • Participating in and benefiting from digital learning opportunities. | Level 2 - Student demonstrates some independence within provided guidelines | FEDTASK 5
Sustainable and Ethical Mindset | Students will demonstrate the ability to consider and assess the consequences and impact of ideas and actions in enacting ethical and sustainable decisions. Students will be required to display skills in: • Making informed judgments that consider the impact of devising solutions in global economic environmental and societal contexts • Committing to social responsibility as a professional and a citizen • Evaluating ethical, socially responsible and/or sustainable challenges and generating and articulating responses • Embracing lifelong, life-wide and life-deep learning to be open to diverse others • Implementing required actions to foster sustainability in their professional and personal life. | Level 2 - Student demonstrates some independence within provided guidelines |
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| | Learning Outcomes Assessed | Assessment Tasks | Assessment Type | Weighting | | 1. | K1, K2, K3, K6, K7, S1, A1 | Review of selected topics | Test | 10% - 20% | | 2. | K3, K4, K5, S2, S3, S4, S5, A1, A3 | Group case study and/or task | Written assignment | 30% - 40% | | 3. | K1, K2, K3, K4, S1, S2, S3, S5, A1, A2 | Comprehensive review of all topics | Invigilated exam | 40% - 50% |
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