Course

Unit 1

Money Laundering

Define ‘money laundering’ and discuss international methods for combating money laundering; Scope of criminal offences of money laundering; how professional accountants may be protected from criminal and civil liability; Need for ethical guidance in this area; How accountants meet their obligations to help prevent and detect money laundering including reporting to the appropriate regulatory body; Explain the importance of customer due diligence (CDD) also referred to as Know Your Customer (KYC) and recommend the information which should be gathered as part of CDD/KYC.

Unit 2

Group and transnational audits 

Group audits – Transnational audits; Recognise the specific matters to be considered before accepting appointment as group auditor to a group; Identify and describe the matters to be considered and the procedures to be performed at the planning stage, when a group auditor considers the use of the work of component auditors; Identify and explain the matters specific to planning an audit of group financial statements including assessment of group and component materiality, the impact of non-coterminous year ends within a group, changes in group structure or a complex group structure; Recommend and discuss the communication and content therein to be provided by the group auditor to the component auditor.

Unit 3

Audit-related services

Audit-related and assurance services – Analyse the form and content of the professional accountant’s report for an assurance engagement as compared with an auditor’s report – Evaluate situations in which it may be appropriate to modify auditor’s opinion. Describe the nature of audit-related services, comparative levels of assurance provided by professional accountants and distinguish between – audit-related services and an audit of historical financial statements – an attestation engagement and a direct engagement.

Unit 4

Other and Specific Assignments

Specific assignments: Review of interim financial information – Prospective financial information – Discuss the content of a report for an examination of prospective financial information – Due diligence; Other assignments: Forensic audits. Define and describe the purpose of each type of assignment and analyse the appropriate level of assurance that may be offered by a professional firm in relation to these assignments – Evaluate the matters to be considered before accepting the engagement, including any ethical and professional considerations. – Plan the assignment to gather suitable evidence and provide an appropriate level of assurance in line with the objectives of the assignment. – Discuss the level of assurance that the auditor may provide and explain the other factors to be considered in

determining the nature, timing and extent of examination procedures. – Describe and recommend appropriate substantive, examination or investigative procedures which can be used to gather sufficient appropriate evidence in the circumstances.

Unit 5

Special Audits

The audit of social, environmental and integrated reporting. – The audit of performance information in the public sector; Assurance on integrated reporting (performance measures and sustainability indicators); Difficulties in measuring and reporting on economic, environmental and social performance ; performance measures and sustainability indicators; Describe substantive procedures to detect potential misstatements in respect of socio- environmental matters; Form and content of an independent verification statement of an integrated report; Audit of performance information (predetermined objectives) and differentiate from performance auditing ; Plan the audit of performance information (predetermined objectives) ; The audit criteria of reported performance information, Form and content of a report on the audit of performance information; Content of an audit conclusion on an integrated report of performance against predetermined objectives.

Course outcome:

Students will be able to

CO1: To develop the knowledge, competence, skepticism and skills of a practitioner in the field of auditing, investigation and accounting.

CO2: Identify and formulate the work required to meet the objectives of audit assignments and apply the International Standards on Auditing.

CO3: Evaluate findings and the results of work performed and draft suitable reports on assignments.

CO4: Identify and formulate the work required to meet the objectives of non-audit assignments.

CO5: Understand the current issues and developments relating to the provision of audit- related and assurance services.

Learning outcomes:

LO1: Understand the duties, rights and liabilities of an accountant and a practitioner. LO2: Understand the process of money laundering and forensic investigation.

LO3: Understand the process of quality control in audit of Group entities, transnational audits and public sector entities.

LO4: Understand the different types of audit-related services, special audits and other assignments.

LO5: Drafting of Limited review engagement reports.

Reference Books:

• ACCA Strategic Professional – Advanced Audit and Assurance (AAA) Study Text of BPP/Kaplan/Becker
• K Basu: Auditing principles and Techniques, Pearson Education