ACC435B Auditing II
Lead Faculty: Dr. Connie Fajardo
Course Description
A continuation of ACC 435A, this course focuses on the auditing procedures of individual financial statement line items including cash, receivables, inventory, payables, long-term debt, equity balances and related income statement accounts. Also emphasizes the writing of auditor's reports, special reports and review and compilation reports in accordance with AICPA standards.
Learning Outcomes
- Apply management's financial statement assertions as a basis for establishing audit objectives and for the design of the appropriate evidence gathering procedures to address such assertions.
- Analyze and assess the internal control structure of an organization with respect to its activity cycles including sales, cash receipts, purchases, cash disbursements, and payroll.
- Plan and perform appropriate substantive tests of details for the audit of each of the following major balance sheet accounts and their related income statement accounts that include Cash, Marketable securities(investments), Accounts Receivable (including confirmations), Inventories, Plant assets, Accounts Payable, Long-term liabilities, and Capital Stock.
- Apply appropriate analytical procedures and evaluate the results of such substantive tests in the audit of the Accounts Receivable and Sales, Allowance for Uncollectible Accounts, Inventory and Cost of Goods Sold, Payroll, and other major expense items.
- Analyze and identify any deficiencies that may be present in examples of each of the following types of reports relating to financial statement engagements of CPAs: Special reports, including Other Comprehensive Basis for Accounting (OCBOA), Review reports for financial statements of publicly-held corporations, Review reports for nonpublic corporations, and Compilation reports
- Assess internal control for risks and prepare reports on internal control related matters.
- Prepare reports for audits under Government Auditing Standards and the Single Audit Act.
- Evaluate the applicability of the compliance requirements under the Sarbanes-Oxley Act.
