ACC 4010 - Auditing

University of Manitoba
I. H. Asper School of Business
Department of Accounting and Finance
Fall 2013
ACC 4010 - Auditing
A01 Wednesday 7:00 p.m. – 10:00 p.m
Instructor:
Office:
Office Hours:
E-mail:
Jennifer Hibbert, CMA, CFE
356 Drake Centre
Wednesday 6:00 p.m. to 7:00 p.m. or by appointment
[email protected]
Course Objectives
This course familiarizes students with basic concepts and theories, the auditor decision making process, the
legal environment of auditing in Canada, the nature and sources of audit evidence, and the internal control
process.
Learning Outcomes – Upon completion of this course a student will:
1. Understand the professional, ethical and legal audit environment in Canada;
2. Understand the nature of auditing and the standards that apply to the profession;
3. Be able to identify ethical issues facing professional accountants and to develop judgment in determining
appropriate responses;
3. Acquired an understanding of basic features of accounting systems and the objectives of the related
internal control environment; and
4. Developed an understanding of auditing concepts and illustrate their application in obtaining and
evaluating audit evidence.
Learning Goals
This course will also address the following learning goals:
1. Ethics: students will be exposed to ethical situations in assigned homework questions and classroom
discussions
2. Communications: students will be encouraged to participate in classroom discussions and will be
evaluated on written communication skills on examination papers
3. Quantitative methods: students will develop skills in basic quantitative analyses in assigned homework
questions and classroom activities
4. Critical thinking: students will be expected to apply concepts learned in new situations while
completing homework assignments, in-class assignments and examinations
Required Text (available at the Campus Bookstore)
Auditing: A Practical Approach (Canadian Edition), Moroney, Campbell, Hamilton, Warren published by
Wiley.
CICA Handbook (Faculty Lab electronic library series).
Access to CICA Handbook
THE CICA HANDBOOK ON THE UNIVERSITY OF MANITOBA LIBRARIES WEBSITE
The CICA Handbook is available in electronic format on the University of Manitoba Libraries website. To
access the Handbook:
1.
2.
3.
4.
From the University of Manitoba homepage (umanitoba.ca), in the “Resources” box, click on LIBRARIES.
In the “One Stop Search” box, type in “CICA Standards & Guidance Collection.”
Go to “CICA Standards & Guidance Collection”.
Click on “Assurance” in the left hand window to see the contents.
The Handbook is accessible on campus or from off-campus with an internet connection. If you are planning to
use an off-campus connection, it will be worthwhile to read about “Remote Access via Proxy System,”
available on the Libraries’ SERVICES & POLICIES page on the Libraries’ website.
The CICA Handbook subscription is provided by the Institute of Chartered Accountants of Manitoba.
Mark Allocation
Midterm Examination
Wednesday Oct 16th, 2013: 7pm-9pm
40%
Assignment
Wednesday November 20th, 2013
(due at beginning of class)
10%
Final Examination:
TBD
The final is a comprehensive exam covering all topic
covered throughout the course.
50%
100%
Conduct of the Course
Questions for class preparation will either be designated chapter questions or questions prepared and designed
by the instructor. These questions will build on student’s knowledge and prepare them for the lecture material.
The questions will be discussed in the next lecture (with the exception of the first day, test days, case review
and course overview days). Your preparedness for both the class and the assignments will be noted and
considered when assessing your preparation marks.
Readings are to be completed before discussion of topics in class to provide you with some foundation for the
lecture. To prepare for the lectures, please read the relevant chapter(s) prior to the lecture and follow up with
reading of handbook sections for further guidance. Handbook sections are more technical in nature and often
refer to related auditing topics that may be covered at a later point in the course. Rereading of handbook
sections after lectures can further enhance your understanding of the topic.
Students exhibiting behaviour that detracts from the quality of the class (e.g., regularly arriving late or leaving
early, talking to classmates during class, answering cell phones, obviously reading material unrelated to the
class) may have points deducted from their class participation marks otherwise earned. Students are expected to
behave in a courteous and professional manner in all dealings with both their fellow students and the professor
both in and outside of class.
Solutions for assigned homework problems are available on the Desire-to-Learn System.
Students are strongly encouraged to check their completed homework questions against the solutions and
contact their instructor whenever they encounter difficulties with the material (refer to office hours).
Desire-to-learn site provide solutions to textbook questions and other course materials. Follow the instructions
below to log on Desire to Learn (D2L):
1.
Go to https://umanitoba.ca/d2l .
2.
Log into D2L using your UMnetID. You must claim your university UMnetID to log into D2L. If you
have not done so, claim your UMnetID at the claimid website.
3.
If you are having problems logging into your course, call 474-8600 or 474-6992 or email
[email protected].
4.
On your D2L home page, then click on the ACC4010 course title under My Courses.
What to Bring to Each Class
1. Class Notes and or Powerpoints: Prior to each class students must print a copy of the relevant class
notes found in the course Angel Learning site and bring the class notes to class. The class notes are
required to complete class activities.
2. Course Text
Examinations
Examinations will test students’ understanding of the concepts covered in lectures, readings and assigned
homework. Students will also be tested on their ability to apply these concepts to new situations. Typical
examinations may include numeric questions, long-answer theory questions and multiple-choice questions
(which may be numeric or theoretical in nature).
Students may not have in their possession at the time of writing any examination in this course: textbooks,
dictionaries, translators, cell phones, additional notes, formula sheets or other extraneous material designed to
supplement their own knowledge of course material. Each student will be allowed to bring calculators (without text
storage capability), pens, pencils and erasers. Pencil cases, back packs, purses and bags are not permitted in the
examination room.
Students who miss the midterm examination for legitimate reasons (medical, compassionate, academic conflict
or university sports team travel) will have the midterm examination marks added to the final examination. In all
cases of absence on the midterm examination date, the instructor must be advised within 7 working days of the
examination date and receive suitable documentation. Attached to this course outline is a copy of the Faculty of
Management Medical Absenteeism Form, which must be submitted to support absence due to illness.
Students who miss the final examination must apply to the Undergraduate Program Office in their faculty for
possible deferred examination privileges.
Grading
Any request for remarking the midterm examination must be made within 7 working days of the class when it
was returned. A completed Midterm Examination Appeal Form (available on the Angel Learning course site)
must be attached to the midterm examination.
Academic Integrity
Students are encouraged to become familiar with the faculty’s policy on academic integrity noted on page 8.
The typical penalty for a first-time offence includes an F in the course with a notation on the transcript and
being barred from taking any courses in the I. H. Asper School of Business for a period of six to eight months.
Unclaimed Exams and Assignments
Students should be aware that unclaimed assignments will become property of the faculty and will be subject to
destruction. It is a student’s responsibility to ensure they have collected any materials which are to be returned
to students within 4 months of the final exam otherwise those materials will be destroyed.
Tentative Course Outline and Schedule
The schedule is subject to change at the option of the instructor. Please note: it is possible all topics below
may not be covered.
Date
Topic
Assigned Readings
Sept 11
Sept 11
Sept 18
Sept 25
Oct 2
Course Outline
Introduction and Overview of Audit and Assurance
Ethics, Legal Liability, and Client Acceptance
Audit Planning
Audit Evidence
Overview of Tests of Controls, Substantive Procedures,
and Sampling
Chapter 1
Chapter 2
Chapter 3 & 4
Chapter 5
Chapter 6
Oct 9
Oct 16
Oct 23
Oct 30
Nov 6
Nov 13
Nov 20
Nov 27
Dec 4
Mid – Term Exam 7:00 pm to 9:00 pm (Chapters 1 to 6)
Gaining an Understanding of the Client’s System of
Internal Controls
Execution of the Audit – Testing of Controls
Execution of the Audit – Performing Substantive
Procedures
Substantive Testing and Balance Sheet Accounts
Substantive Testing and Income Statement Accounts
Completing and Reporting on the audit
Course Review and Wrap-up
Chapter 7
Chapter 8
Chapter 9
Chapter 10
Chapter 11
Chapter 12
Academic Integrity
It is critical to the reputation of the Faculty of Management and of our degrees, that everyone associated with
our faculty behave with the highest academic integrity. As the faculty that helps create business and
government leaders, we have a special obligation to ensure that our ethical standards are beyond reproach. Any
dishonesty in our academic transactions violates this trust. The University of Manitoba General Calendar
addresses the issue of academic dishonesty under the heading "Plagiarism and Cheating". Specifically, acts of
academic dishonesty include, but are not limited to:
-
-
using the exact words of a published or unpublished author without quotation marks and without
referencing the source of these words
duplicating a table, graph or diagram, in whole or in part, without referencing the source
paraphrasing the conceptual framework, research design, interpretation, or any other ideas of another
person, whether written or verbal (e.g., personal communications, ideas from a verbal presentation) without
referencing the source
copying the answers of another student in any test, examination, or take-home assignment
providing answers to another student in any test, examination, or take-home assignment
taking any unauthorized materials into an examination or term test (crib notes)
impersonating another student or allowing another person to impersonate oneself for the purpose of
submitting academic work or writing any test or examination
stealing or mutilating library materials
accessing tests prior to the time and date of the sitting
changing name or answer(s) on a test after that test has been graded and returned
submitting the same paper or portions thereof for more than one assignment, without discussions with the
instructors involved.
Group Projects and Group Work
Many courses in the Faculty of Management require group projects. Students should be aware that group
projects are subject to the same rules regarding academic dishonesty. Because of the unique nature of group
projects, all group members should exercise special care to insure that the group project does not violate the
policy on Academic Integrity. Should a violation occur, group members are jointly accountable unless the
violation can be attributed to a specific individual(s).
Some courses, while not requiring group projects, encourage students to work together in groups (or at least do
not prohibit it) before submitting individual assignments. Students are encouraged to discuss this issue as it
relates to academic integrity with their instructor to avoid violating this policy.
In the Faculty of Management all suspected cases of academic dishonesty are passed to the Dean's office in
order to ensure consistency of treatment.
UNIVERSITY OF MANITOBA
I. H. Asper School of Business
Medical Absenteeism Form
Student Identification: (please print clearly)
______________________________
Last Name
___________________ ___________ _______________________________
First Name
Middle Initial U of M Student Identification Number
I hereby authorize ________________________________ to verify with the attending physician or his/her
(Name of Instructor/Administrator)
staff or colleagues that the contents of this form are true.
________________________________________
Student’s Signature
_______________________________________
Date
To be completed by the attending physician: (after the above section is completed)
___________________________________________
Physician’s Last Name (please print clearly)
______________________________
Physician’s First Name
________________
Middle Initial
___________________________________________
Street Address
________________________________ ________________
City, Province
Postal Code
___________________________________________
Telephone Number
_________________________________
Fax Number
To the attention of the physician: Your evaluation of the student’s condition is being used for the purpose of
determining whether or not the student has a valid reason to miss an important exam or assignment. Your professional
evaluation is necessary to ensure that only valid cases are excused.
I certify that the nature of the student’s condition is severe enough to prevent the student from taking an exam or completing
an assignment. If requested, my associates or I will verify for the above-named instructor/administrator that this information
is accurate.
The student’s condition will likely span the following dates:
___________________________________
Physician’s Signature
____________________________
(indicate start date)
until ____________________________
(indicate end date)
____________________________
Date
Notes to physician:
 Please make a note in the student/patient’s file indicating that the student has given the above-named
instructor/administrator permission to verify with you, your staff, or your colleagues, that the information contained
on this form is correct. Thank you for your professional evaluation of this student’s condition.
 PLEASE ATTACH THIS FORM TO YOUR REGULAR OFFICE STATIONERY THAT INDICATES THE
STUDENT VISITED YOUR OFFICE.
Note to student:
• The use of this form is at the option of the student. However, in order to obtain an excused absence for an
assignment or exam, the student must obtain a doctor’s certification that the student’s condition is severe enough
to prevent the student from taking the exam or completing the assignment.

It is NOT SUFFICIENT to provide a note that only indicates the student visited the doctor’s office.