DOCUMENT: SUBJECT:

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COURSE OUTLINE AUDITING AND ASSURANCE
PRINCIPLES

DOCUMENT NO.: COL-CO-001 SUPERSEDES:

ISSUED TO: (COPIES)
DATE OF EFFECTIVITY: 3 AUGUST 2020 DATED: NONE
QMO – Quality Management Office
VPAA’s Office
This is a controlled document. Photocopying or printing of this document, without the Dean’s Office
controlled mark, shall make this document an uncontrolled copy. School of Business and Accountancy

COURSE NAME: AUDITING AND ASSURANCE PRINCIPLES

COURSE CODE: BAUDPRIX

SCHEDULE/ROOM: MTh / 7:00AM-11:00AM

NAME OF FACULTY: FIDELIZ ARCA C. VIDAL, CPA, MBA, CTA

Department of Accountancy

CONSULTATION PERIOD: MTh / 11:00AM-12:00PM

Faculty Center, 3F Main Building, SM BALIWAG

COURSE DESCRIPTION
The course is a three-unit subject intended to provide the students with concepts and principles underlying
the audit of financial statements. This is a continuation of Assurance Principles, Professional Ethics and
Good Governance, focusing on financial statements audit. It covers detailed approaches to problems and
situations normally encountered in the independent examination of cash, receivables, inventories,
investments, intangibles, agriculture and related accounts.

It deals specifically with the application of auditing standards, techniques, and procedures; internal control
evaluation; preparation of audit working papers; introduction of computer application in auditing; audit
adjustments; and audit reports pertaining to a medium-sized manufacturing or trading concern. The
determination of audit objectives and audit programs, evaluation of internal control, and determination of
substantive procedures as applied to various accounts are better appreciated as the transaction cycle
approach is employed in the course.

Audit working papers and audited financial statements are the natural outputs of this course leading to the
preparation of audit reports.

COURSE LEARNING OUTCOMES

At the end of this course, the student will be able to:
1.Explain knowledge, theories and concepts of auditing.
2.Conceptualize appropriate accounting and auditing standards based on the existing specific
guidelines.
3.Determine the relevance of business transaction to financial or accounting transaction.
4.Describe the nature of financial audit and apply the knowledge of the major phases in the audit
process.
5.Describe the nature and objectives of audit planning and its consideration.
DOCUMENT: SUBJECT:
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COURSE OUTLINE AUDITING AND ASSURANCE
PRINCIPLES

DOCUMENT NO.: COL-CO-001 SUPERSEDES:

ISSUED TO: (COPIES)
DATE OF EFFECTIVITY: 3 AUGUST 2020 DATED: NONE
QMO – Quality Management Office
VPAA’s Office
This is a controlled document. Photocopying or printing of this document, without the Dean’s Office
controlled mark, shall make this document an uncontrolled copy. School of Business and Accountancy

6. Identify the documents and accounting records used in the revenue and collection cycle as well as
the working papers to be produced.
7. Describe how to apply compliance test of controls and substantive tests over payroll, production and
inventory warehousing transactions.
8. Describe how to apply compliance test of controls and substantive tests over investing and financing
activities.
9. Understand the preparation of audit working papers to document the audit procedures for cash,
receivables, inventories, investments, agriculture/biological assets, intangible assets and other related
accounts.
10. Discuss how the auditor evaluates evidence in the formulation of opinion on the entity’s financial
statements.
11. Perform audit planning, risk assessment procedures, tests of controls and substantive testing as
they are the stages of audit.

COURSE OUTLINE AND TIMEFRAME

WEEK TOPIC
Goal Setting and Proper Planning
- University and College vision and mission
- Classroom policies
- Goal setting and course planning

1-2 Topic 1:

1. Audit and Assurance Practice and Regulation

2. Overview of audit process.
3. Pre-engagement activities.
4. Audit Planning.

Topic 2:
3-4 1. Audit objectives for cash and cash equivalents
Substantive audit procedures for cash and cash equivalents.
DOCUMENT: SUBJECT:
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COURSE OUTLINE AUDITING AND ASSURANCE
PRINCIPLES

DOCUMENT NO.: COL-CO-001 SUPERSEDES:

ISSUED TO: (COPIES)
DATE OF EFFECTIVITY: 3 AUGUST 2020 DATED: NONE
QMO – Quality Management Office
VPAA’s Office
This is a controlled document. Photocopying or printing of this document, without the Dean’s Office
controlled mark, shall make this document an uncontrolled copy. School of Business and Accountancy

Topic 3:
5 1. Audit objectives for trade, non-trade receivables and related accounts.
2. Substantive audit procedures for trade, non-trade receivables and related accounts.

Topic 4:
6 1. Audit objectives for inventories, cost of sales and related accounts.
2. Substantive audit procedures for inventories, cost of sales and related accounts.

7 MIDTERM EXAM

Topic 5:

8-9 1. Audit objectives for investments.

2. Substantive audit procedures for investments.

Topic 6:

10-11 1. Audit objectives for PAS 41 Agriculture/Biological Assets

2. Substantive audit procedures for PAS 41 Agriculture/Biological Assets.

Topic 7:

12 1. Audit objectives for Intangible assets.

2. Substantive audit procedures for Intangible assets.

13 FINAL EXAM

SUGGESTED READINGS AND REFERENCES

 Auditing Practice 2023 Edition by Gerardo S. Roque
 Auditing & Assurance Principles 2022 Edition by Escala, Bercasio and Carandang
 Auditing Theory 2021Edition by Salosagcol, Tiu and Hermosilla

COURSE REQUIREMENTS
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COURSE OUTLINE AUDITING AND ASSURANCE
PRINCIPLES

DOCUMENT NO.: COL-CO-001 SUPERSEDES:

ISSUED TO: (COPIES)
DATE OF EFFECTIVITY: 3 AUGUST 2020 DATED: NONE
QMO – Quality Management Office
VPAA’s Office
This is a controlled document. Photocopying or printing of this document, without the Dean’s Office
controlled mark, shall make this document an uncontrolled copy. School of Business and Accountancy

Aside from major exams and performance tasks, students are required to do the following tasks:
 Read assigned text and other learning materials, including modules.
 Regular punctual attendance in class and in submission of requirements. Three absences
will be considered dropped to the subject.
 Attain Standard Passing (80%) for assigned tasks such as, quizzes, major exams, class
activities, reflective papers, projects, etc.; and
 Active participation in activities to achieve the Learning Outcomes.
GRADING SYSTEM
The student will be graded according to the following breakdown:
FINAL GRADE
GRADE ALLOCATION PER TERM DISTRIBUTION
Per Term Distribution
Participation (Activity/Assessment) 30%
Midterms 40%
Recitation – 5%
Attendance – 5%
Seatwork – 20%
Quizzes 30%
Major Exam 40% Finals 60%
TOTAL 100% TOTAL 100%

National University uses the following academic grading system:

Numerical Grade Equivalent Remarks Descriptive Equivalent

4.00 96 - 100 R Repeat
3.50 90 - 95 Failure
3.00 84 – 89 0.00 Cheating
2.50 78 - 83 Excessive Absences
2.00 72 -77 Dr Dropped
1.50 66 - 71
Inc Incomplete
1.00 60 - 65

CLASS POLICIES

1. Familiarize yourself with the organization of remote class, including the terminologies, tools, and the
primary platform to be used.
2. Be aware that activities for RAL are stated in the course syllabus or course outline.
DOCUMENT: SUBJECT:
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COURSE OUTLINE AUDITING AND ASSURANCE
PRINCIPLES

DOCUMENT NO.: COL-CO-001 SUPERSEDES:

ISSUED TO: (COPIES)
DATE OF EFFECTIVITY: 3 AUGUST 2020 DATED: NONE
QMO – Quality Management Office
VPAA’s Office
This is a controlled document. Photocopying or printing of this document, without the Dean’s Office
controlled mark, shall make this document an uncontrolled copy. School of Business and Accountancy

3. Access MS Teams and download all available course materials.

4. Communicate with your instructor regularly. Be as responsive as possible.
5. Notify your instructor in case there is difficulty in accessing course materials.
6. Inform your instructor if there is something vague, preferably after initially consulting with a classmate or
2.
7. Set a regular study time for each course. Make sure to follow the suggested weekly course materials.
8. Have an active presence in discussions by responding to posts. Avoid short, generic replies such as, “I
agree.” It should include why you agree or should add to the previous point.
9. Maximize opportunities to learn with classmates through group assignments, peer review, collaborative
documents, and more.
10. Observe virtual class (or office) hours. While you may post your questions at any time of the day, expect
a delay in the response after the defined virtual class or office hours.
11. Know that the provisions in the Student Handbook and other University policies concerning you will
remain in effect unless suspended by the Academic Council or by the President.

PREPARED BY: REVIEWED BY: NOTED BY: NOTED BY: APPROVED BY:

Fideliz Arca C. Vidal, Jomar V. Villena, CPA, MBA Francis Allan C. Arriane Espino, RL Jayson Raymund
CPA, MBA Program Chair, BSA Bernales, MBA Librarian Bermudez, MIST
Faculty Dean, SBA Academic Director