The Institute of Chartered Accountants of Bangladesh

ASSURANCE
Professional Stage Knowledge Level

Study Manual

www.icab.org.bd
 Assurance
The Institute of Chartered Accountants of Bangladesh Professional Stage

These learning materials have been prepared by the Institute of Chartered Accountants in England and Wales

ISBN 978-1-84152-637-9
First edition 2009

All rights reserved. No part of this publication may be reproduced or

transmitted in any form or by any means or stored in any retrieval system, or
transmitted in, any form or by any means, electronic, mechanical, photocopying,
recording or otherwise without prior permission of the publisher.

ii © The Institute of Chartered Accountants in England and Wales, March 2009

 Welcome to the ICAB

© The Institute of Chartered Accountants in England and Wales, March 2009 iii
iv © The Institute of Chartered Accountants in England and Wales, March 2009
Contents

 Introduction vii
 Specification grid for Assurance viii
 The learning materials ix
 Study guide x
 Getting help xvii
 Syllabus and learning outcomes xviii
1. Concept of and need for assurance 1
2. Process of assurance: obtaining an engagement 17
3. Process of assurance: planning the assignment 37
4. Process of assurance: evidence and reporting 67
5. Introduction to internal control 85
6. Revenue system 107
7. Purchases system 127
8. Employee costs 145
9. Internal audit 159
10. Documentation 169
11. Evidence and sampling 185
12. Management representations 209
13. Substantive procedures – key financial statement figures 221
14. Codes of professional ethics 251
15. Integrity, objectivity and independence 263
16. Confidentiality 287
 Sample paper 299

© The Institute of Chartered Accountants in England and Wales, March 2009 v

vi © The Institute of Chartered Accountants in England and Wales, March 2009