2 2 12% 12 4 5 3 4. a. Discuss the steps in the audit process b. Design pre-engagement procedures с. Describe the scope and purposes of audit planning d. Assess the essential requirements (knowledge of the e. business, preliminary analytical procedures, materiality, assessing and managing audit risks, overall audit plan and audit program, and considerations of the work of others) Illustrate measures for the direction, supervision and review of financial statements audit Understanding the Entity and its Environment Including its Internal Control and Assessing the Risks of Material Misstatement a. Discuss the industry, regulatory and other external factors, including the applicable financial reporting framework (nature of the entity, objectives and strategies and related business risks, and measurement and review of the entity's financial performance) b. Illustrate the basic concepts and elements of internal COMPETENCY с. control Describe the consideration of accounting and internal control systems (understanding and documentation, and assessment of control risks: test of controls, and documentation) d. Assess the risks of material misstatement (fraud and errors, risk assessment procedures, discussion among the engagement team, significant risks that require special audit consideration, risks for which substantive procedures alone do not provide sufficient appropriate audit evidence, and revision of risk assessment) 3% 3 e. Demonstrate means of communicating with those charged with governance and management 1% 1 1 5. Audit Objectives, Procedures, Evidences and Documentation 12% 12 4 4 4 a. 4% 4 4 Explain the nature and significance of audit objectives, 3 2 2% 2 2 a. Discuss the basic audit sampling concepts (nature and purpose, non-statistical and statistical sampling, attribute and variables sampling technique, sampling and nonsampling risk, and testing procedures which do not involve sampling) b. Illustrate the factors affecting sample design (audit objectives, population and its characteristics, risk and assurance, tolerable error, expected error in the population, and variation in the population) 2% 2 2 a. Identify the steps in completing the audit (analytical procedures for overall review, related party transactions, subsequent events review, assessment of going concern 2% 2 2 7. 052664-5 COMPETENCY Weight Number of Items assumption, obtaining client's representation letter, and evaluating findings, formulating an opinion and drafting the audit report) b. Illustrate the steps in completing the audit 2% 2 2. с. Differentiate the post audit responsibilities related to subsequent discovery of facts and subsequent discovery of omitted procedures 2% 2 2 8. Reports on Audited Financial Statements 8% 8 2 3 a. Compose the unqualified auditor's report 2% 2 b. Identify the basic elements of the unqualified auditor's report 2 3 d. Construct the report on comparatives 1% 1 1 9. Auditing in a Computerized Information Systems (CIS) Environment 8% 8 2 4 2 C. Distinguish the modifications on auditor's report related to matters that do not affect the auditor's opinion and matters that do affect the auditor's opinion |