Audit and Assurance

BA (HONS) ACCOUNTING & FINANCE BA (HONS) PROFESSIONAL ACCOUNTING PROFESSIONAL account statement COURSE YEAR 3 AUDIT & ASSURANCE 1 INDIVIDUAL ASSIGNMENT BRIEF HAND OUT DATE5th October 2011 HAND IN DATE INSTRUCTIONS FOR COURSEWORK You are required to research and prepare a report based on one of the following topics. Please seek the care of the module leader Ivor Pingue and your seminar tutors for help and guidance with your coursework. Do not leave the research too lateThe word limit for the report is a token(prenominal) of 3,500 (+10%) words. maximum word count can be + 10% (Note reports submitted with less than 3,500 words allow be rejected and given a shop of zero ). Reports must indicate the word count and any report that does not include this will be rejected. All reports must be the right way referenced and also be submitted with a TURNITIN report. NOTE that high similarity reports could be subject to further investigation which might lead to a laden of academic miscondu ct for plagiarism. PERSONAL DEVELOPMENT PLANIn addition to the written report, you are to prepare a separate individual personal growing statement in accordance with the attached brief. This individual submission is to be handed in for the attention of Peter Blowes. The personal development statement will contribute up to 10% of your overall mark for the unit. TOPIC 1 Given the recent banking crisis and the topical volatility of the financial foodstuffs, some commentators sport suggested that the current size up model is not fit for purpose and should be changed to reflect the current business practices and models particularly relating to risk and risk assessment. unavoidable Critically adjudicate this statement and consider whether in your imbibe, the current risk based approach to auditing should be amended and if so, what model should be adopted. (NOTE YOU DO NOT HAVE TO fetter YOUR RESEARCH TO THE UK). TOPIC 2 External auditing has changed to accommodate the changes in c orporate governance in the UK and other countries such as South Africa, Australia, US, India and China REQUIRED Using a country or countries of your choice, research and prepare a report to critically evaluate the to a higher place statement. TOPIC 3With the current furiousness on carbon emissions and damage to the environment that businesses cause and an awareness of social issues, the role of auditors in providing social and environmental assurance engagements is likely to increase as we enter into the 21st Century. REQUIRED Research and explain the growth and development of social and environmental auditing in both the UK and a country of your choice. Explain whether you throw or disagree with the statement made. (NOTE make sure that your research supports and is evidenced by any assertions that you make TOPIC 4 Auditors are not just now engaged in coiffeing statutory audits but can provide assurance reports to a number of entities both incorporated and unincorporated. Also , auditors can help slenderize the incidence of fraud within a business. REQUIRED Write a report suggesting ways that an assurance engagement can be useful to conglomerate forms of businesses including the use of forensic auditing services. Also, do you agree that an assurance service can reduce the incidence of fraud? How and why do you arrive at your view? TOPIC 5There have been a number of reports by the Audit Inspection Unit examining, amongst other things, audit quality and audit meekness reviews (ACRs) REQUIRED Research the reports that have been produced in the UK that have considered audit quality and critically appraise them. In your report, you should make clear why you consider audit quality to be an important aspect of both the external and internal audit process. Your report should also consider how an audit firm can perform an effective audit compliance review (ACR). TOPIC 6Given the behaviour of the audit firm Arthur Andersen in the Enron debacle, it could be argue d that auditors are never authentically independent of their clients and cannot be properly ethical in relation to their dealings with them for a variety of reasons, one of which being fees. REQUIRED Critically appraise the above statement by examining the relationship of the auditor to Enron. You should also consider how governments and the auditing professions in the US and UK have dealt with the issue of auditors independence and ethics. Have they gone far decorous in providing public confidence in this area?What suggestions would you make to improve the position? TOPIC 7 The question of competition within the audit market is a hot topic particularly for the middle tier and lower tier audit firms who have argued for some time that there is an unfair strength of big 4 audit firms in relation to FTSE 100 companies. REQUIRED Consider whether in your view the mid and lower tier audit firms have a fair argument in terms of the dominance of the big 4 audit firms in relation to the F TSE companies. What can be done to care this issue to ensure fair competition in the audit market ?Can governments do more in this regard? (NOTE Consider the current disceptation relating to this as well as the relevant reports). TOPIC 8 Examine articles within the following auditing journals Auditing A journal Of Practice & Theory International Journal of Auditing Take a period of 36 months and selecting a theme that has been examined within these journals, write a report showing how it has been considered in these journals. Within your answer, state whether in your opinion, the matter has been satisfactorily resolved or whether further research and examination is required. MODULE LEADER