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AUDIT – F8REVISION NOTESJUNE 2009
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CONTENTS
JUNE 2009 ...........................................................................................................................1OVERVIEW OF SYLLABUS AND EXAM ..........................................................................3ASSURANCE AND AUDIT ...................................................................................................4OVERVIEW OF THE STATUTORY AUDIT PROCESS ....................................................7REGULATORY STANDARDS ..............................................................................................8RESPONSIBILITIES .............................................................................................................10ACCEPTING ENGAGEMENTS ..........................................................................................12ETHICS FRAMEWORK .......................................................................................................13ETHICS FRAMEWORK .......................................................................................................14ACCA ETHICAL GUIDANCE .............................................................................................16PLANNING THE AUDIT .....................................................................................................18MATERIALITY AND RISK ASSESSMENT ......................................................................20INTERNAL CONTROLS ......................................................................................................21MANAGEMENT LETTER ...................................................................................................22ANALYTICAL PROCEDURES ...........................................................................................23AUDIT APPROACH .............................................................................................................24EVIDENCE ............................................................................................................................26Computer Assisted Audit Techniques - CAAT’s ..................................................................33RELIANCE ON THE WORK OF OTHERS ........................................................................40COMPLETION ......................................................................................................................42QUALITY CONTROL .........................................................................................................47REPORTING ..........................................................................................................................49CORPORATE GOVERNENCE ............................................................................................50INTERNAL AUDIT ...............................................................................................................53 Not for profit organisations ....................................................................................................56
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OVERVIEW OF SYLLABUS AND EXAM
Core areas of the syllabus:
Syllabus areaCorporate governance and EthicsInternal auditPlanning and risk assessmentInternal controlsSubstantive audit evidenceReviewReporting
Exam is 3 hours 15 minutes reading
5 compulsory questions
Predominantly written
Pass mark 50%.
Only
31%
– 43 % of people
pass
this
paper 
a sitting!
The paper format (attempt in order)
Question 1Audit Procedures Scenario Based30 MarksQuestion 2Knowledge Based10 MarksQuestion 3Risk and Audit Approach20 MarksQuestion 4More Specialised Audit Area20 MarksQuestion 5Audit Evidence/Completion/Reports20 Marks
5 STEPS TO SUCCESS1. To pass this exam you must apply your answers to the scenarios2. Expect to get 5 marks per page – therefore a 15 mark questions needs to be 3 pages long.A 4 mark question no longer than 1 page.3. Read the requirements first. Set up your answer (plan)4. Start each question and section on a separate page Clearly identifying to the marker whatquestion you are answering.5. DO PAST QUESTIONS TO TIME!!!!
ITS IN YOUR BEST INTEREST TO DO THIS MOCK, IT IS THE BEST MEANS OF
ENSURING APASS
. GIVE YOURSELF THE BEST POSSIBLE CHANCE – DON’T LET YOURSELF DOWN.
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