EBA3013 [Ver.

1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)
Faculty of Economics and Business, UNIMAS

COURSE TITLE

Course Plan
Sem 1, 2016/2017

AUDITING AND ASSURANCE

(Pengauditan dan Jaminan)

COURSE CODE

EBA3013

CREDIT

PREREQUISITE/S

N/A

SYNOPSIS

This course is an introduction course in Auditing and it will introduce

students to the concepts and principles of auditing. Emphasis will be given
on external and statutory auditing. Students will be exposed to the
principles of audition in performing the auditing task. The coverage of the
course includes collection of evidence, internal control evaluation, auditing
documentation until the issuance of an audit report. Methodology and
auditing financial statement cycle such as sales and collection cycle;
purchase and payment cycle; and cash and inventory cycle will be
discussed. The fundamental knowledge gained from this course will be
expanded in the Advance Auditing course
(Ini adalah kursus pengenalan kepada pengauditan dan juga mendedah
pelajar kepada konsep dan prinsip pengauditan. Penekanan akan diberi
kepada pengauditan luar dan berasaskan statut. Pelajar akan didedah
kepada prinsip pengauditan untuk menjalankan tanggungjawab
pengauditan. Kandungan kursus termasuk pengumpulan bukti, penilaian
kawalan dalaman, dokumantasi pengauditan sehingga laporan audit
dikeluarkan. Kaedah dan pengauditan kitaran penyata kewangan seperti
kitaran jualan dan kutipan; kitaran belian dan bayaran; kitaran tunai dan
inventori juga di bincangkan. Pelajaran asas yang diperolehi di dalam
kursus ini akan ditingkatkan melalui pembelajaran kursus pengauditan
lanjutan.)

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

LEARNING

Sem 1, 2016/2017

By the end of this course, students will be able to:

OUTCOMES
Learning Domains

CLO

Statements

CLO1

Explain the relevant accounting and auditing

PLO Mapping
SS

(WE02)

standards during the audit of non-complex entities.

CLO2

Organize substantive testing and test of control.

CLO3

Analyze the internal control problems of a small

TS

1&5

ES

7&8

company and suggest possible solutions

CLO4

Prepare a financial statement audit for

non-complex entities.

STUDENT
LEARNING HOURS

Guided LHs

Self LHs

Lectures

28

30

Tutorials

12

Student-Centered Learning

12

Continuous Assessment

10

Final Examination/Assessment

50

70

Sub-Total
Total

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120 Hours

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

Sem 1, 2016/2017

LEARNING UNITS
LU

Chapter/Topic

LU1

An Introduction to Auditing

Week

CLO

-Development of Audition

SS

TL Activities

Assessment
Strategies

Lecture &

Assignment,

Discussion

Quiz, & Mid

-Purpose of auditing

Term

-Differences between auditing and

accounting
-Principles of stewardship, accounting and
agency
-Introduction to Auditing standards and its
importance
-Statutory Audit and Companies Act 1965
-Differences between types of audit
opinions issued
-Framework of auditing (IFAC, MIA,
Auditing Standards, professional bodies)
LU2

Statutory and Regulatory Requirement

Lecture,

Assignment,

-Companies Act Requirement

Discussion, &

Quiz, Mid

-Responsibility, power of auditor,

Group Work

Term , &

appointment, resignation and termination of

Final

auditors (S.9, S.169, S.172-174)

-Engagement/ appointment letter
LU3

Objectives and Scope of Financial

Lecture,

Assignment,

Statement Audit

Discussion, &

Quiz, Mid

-Audit objectives and Basic Principles

Group Work

Term , &

governing and Audit

Final

-Auditor's responsibility for detecting fraud

-Management Assertions

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

LU

Chapter/Topic

LU4

Internal Control system

Sem 1, 2016/2017

Week

CLO

SS

-Fundamental concepts
-Objectives, characteristics and limitations

TL Activities

Assessment
Strategies

Lecture,

Assignment,

Discussion, &

Quiz, Mid

Presentation

Term , &

-Definition of internal control (COSO,

Final

Cadbury and Auditing Standards in

Malaysia)
-Importance of internal control to auditors
-Relationship of internal control and audit
evidence
-Review and documentation of internal
control system
-Internal control?s compliance test in
transaction cycle
-Strengths and weaknesses of internal
control
-Management letter
LU5

Audit Evidence and Auditing Procedure

2&3

TS

-Types of audit evidence

-Quality and adequacy of audit evidence
-Auditing procedure used to collect

Lecture,

Assignment,

Discussion,

Quiz, & Mid

Group Work,

Term

&

evidence

Presentation

-Types of audit procedure and audit test

-Compliance and substantive test
-Test of transaction and balance
LU6

Audit Documentation
-Importance of audit working papers
-Types of working papers
-Indexing, audit cross-footing and extension
-Types of audit file

6&7

2&3

TS

Lecture,

Assignment,

Discussion,

Quiz, Mid

Group Work,

Term , &

&

Final

Presentation

-Control and rights to the audit working

papers
-Confidentiality

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

Sem 1, 2016/2017

Assessment

LU

Chapter/Topic

Week

CLO

SS

TL Activities

LU7

Audit Planning

2&3

TS

Lecture &

Assignment,

Discussion

Quiz, & Final

Lecture &

Assignment &

Discussion

Quiz

Lecture &

Assignment &

Discussion

Quiz

-Planning activities

Strategies

-Understanding the client?s business and

accounting system
-Fundamental concepts of materiality and
risk in auditing
-Relationship between test and evidence
-Preparation of audit programme
Determination of audit objectives
-Analytical procedures: Planning fieldwork
and final stage
LU8

Audit of Revenue Cycle

TS

-Overview of the accounts and classes of

transactions
-Business functions and documents
-Management assertions and audit
objectives for internal controls
-Substantive tests for accounts
LU9

Audit of Purchase Cycle

-Overview of the accounts and classes of

10

TS

transactions
-Business functions and documents
-Major internal control and related audit
procedures
-Substantive tests for account payables

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

LU

Chapter/Topic

LU10 Audit of Cash

Sem 1, 2016/2017

Assessment

Week

CLO

SS

TL Activities

11

TS

Lecture &

Assignment,

Discussion

Quiz, & Final

Lecture &

Assignment &

Discussion

Quiz

-Kiting

Strategies

-Bank transfer schedule

-Bank reconciliation
-Bank cut off statements
-Bank confirmation
-Substantive audit procedures for cash
-Audit of inventory Cycle
-Classification of inventory
-Business functions and flow of documents
Components of the cycle
Major controls and audit procedures
Confirmation on existence and evaluation
including
- Physical stock taking
- Price test and summary
LU11 Audit of property Plant and Equipment
-Assessing inherent and control risks

12

TS

-Difference with auditing of current assets

-Tests:
. Confirming increase and decrease of
balances
. Physical examination, examining
depreciation
. Confirmation of repairs and maintenance
balances

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

LU

Sem 1, 2016/2017

Chapter/Topic

Assessment

Week

CLO

SS

TL Activities

13

TS

Lecture &

Assignment &

Discussion

Final

Lecture &

Assignment,

Discussion

Quiz, & Final

LU12 Audit of Long Term Liabilities,

Shareholder?s Equity and Income Statement

Strategies

-Auditing long term liabilities

-Auditing dividend
-Auditing share capital account
-Auditing reserves and retained profits
-Auditing income statement items
-Audit of Payroll Cycle
-Inherent and control risk assessment
-Internal control procedures
-Test of control
-Substantive procedures
-Analytical procedures
LU13 Auditor's Report

14

ES

-Objectives and format of audit report

-The needs for an audit report
-Unqualified report
-Types of qualified report
-Circumstances that lead to the issuance of
unqualified report
-Disclaimer of responsibility

ASSESSMENT
TOTAL

AS

Statements

CLO1

CLO2

CLO3

CLO4

CLO5

AS1

Assignment

10

AS2

Quiz

10

AS3

Mid Term

10

15

30

AS4

Final

10

15

15

10

50

TOTAL (%)

26

35

25

14

100

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(%)

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

Sem 1, 2016/2017

CONSTRUCTIVE ALIGNMENT MAPPING

CLO
CLO1

CLO2

CLO3

Assessment Strategies

TL Activities

SLT

Assignment [3%] , Quiz [3%] , Mid Term

Lecture, Discussion,

6.00 hour(s) [LU1, LU2]

[10%] , Final [10%]

Group Work

Assignment [2%] , Quiz [3%] , Mid Term

Lecture, Discussion,

[15%] , Final [15%]

Group Work, Presentation LU5, LU6]

Assignment [3%] , Quiz [2%] , Mid Term

Lecture, Discussion,

[5%] , Final [15%]

Group Work, Presentation LU6, LU7, LU8, LU9,

9.00 hour(s) [LU3, LU4,

21.00 hour(s) [LU4, LU5,

LU10, LU11]
CLO4

Assignment [2%] , Quiz [2%] , Final [10%] Lecture, Discussion

REFERENCES

1.

3.00 hour(s) [LU12]

Arens, A.A., Elder, R.J., Beasley, M.S., Adapted by Faudziah Hanim

Fadzil. Afza, Rohami, and Nor Zalina (2008). Auditing and
Assurance Services in Malaysia. An Intergrated Approach. Kuala
Lumpur: Pearson Education.

2.

Messier, W.F. and Margaret Boh (2007). Auditing and Assurance

Service in Malaysia. Kuala Lumpur:McGrew Hill

3.

Arens, A.A., Elder, R.J., Beasley, M.S., Adapted by Susela Devi,

Takiah Mohd. Iskandar, Shaari Isa Edited by Hasnah Haron. (2008).
Auditing and Assurance Services in Malaysia. An Integrated
Approach.Kuala Lumpur Pearson Education, Kuala Lumpur.

4.

MIA by laws (Undang-undang kecil) on Professional Conduct and

Ethics (Kod Etika MIA)

5.

MIA, (2001). Supplement to Malaysian Approved Standards on

Auditing. Kuala Lumpur, Malaysia, International Auditing Practices
Statement. Companies Act 1965 and Accountant Act 1967

6.

Selvaraj , S. (2005) Auditing and Assurance Services in Malaysia.

Pearson Prentice Hall

7.

Buckless, F.A., Beasley, M.S., Glover, S.M., Prawitt, D.F. (2000).

Auditing Cases, Prentice Hall, New Jersey.

8.

Pflugrath, G. (2009). Auditing, Assurance HandBook. Melbourne:

Pearson Education.

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EBA3013 [Ver.1] Auditing and Assurance

WE02 [Ver.1] Bachelor of Accountancy (Honours)

Course Plan

Faculty of Economics and Business, UNIMAS

Sem 1, 2016/2017

Prepared by:

Verified by:

Approved by:

................................................

................................................

................................................

Course Coordinator/Lecturer

Programme Coordinator/HoD

Dean/Deputy Dean

Name:

Name:

Name:

Email:

Date:

Date:

Phone:
Date:

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