Course Title: Conduct internal audit

Part A: Course Overview

Program: C6113

Course Title: Conduct internal audit

Portfolio: BUS

Nominal Hours: 40.0

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Course Code




Learning Mode

Teaching Period(s)


City Campus


650T TAFE Business

Face-to-Face or Internet

Term1 2012,
Term1 2013,
Term1 2014,
Term2 2013

Course Contact: Maurice Sheridan

Course Contact Phone: +61 3 99255455

Course Contact Email:

Course Description

This unit describes the performance outcomes, skills and knowledge required to evaluate information systems and assess an organisation’s risks as part of an internal audit process. This unit has application to a variety of financial services sectors and is applicable to individuals working within enterprises and job roles subject to licensing, legislative, regulatory or certification requirements so the varying Commonwealth, State or Territory requirements should be confirmed with the relevant body.

If you are undertaking this course in Melbourne from semester 2, 2012 onwards your teacher will advise you if you require access to a computer for the course. It is recommended that you have access to a mobile computing device to allow greater flexibility in terms of where you can work on campus outside class times.

Pre-requisite Courses and Assumed Knowledge and Capabilities

FNSACC506A - Implement and maintain internal control procedures.

National Competency Codes and Titles

National Element Code & Title:

FNSACC606A Conduct internal audit



1. Evaluate information 1.1 Systems specifications are evaluated against user requirements
systems and feedback to identify redundancies and constraints, and
capacities of information technology

1.2 Hardware and software needs are identified from assessment
of available products and services

1.3 Possible uses and handling of accounting data are evaluated
in consultation with users to determine security requirements

1.4 Organisational procedures and policies are analysed to
evaluate scope of strategies for risk management, internal
control of expenditure and compliance with statutory

1.5 Enquiries regarding use of systems are monitored and
recorded to ensure ongoing evaluation

2. Develop implementation 2.1 Principles, procedures and processes arising from internal
plans control systems are examined to determine implementation
issues relevant to organisational processes

2.2 Strengths and weaknesses of organisational processes,
including present and future capacities, are analysed and
incorporated in the implementation plan

2.3 Implementation is designed to cover outcomes, resource
use, costs and the achievement and maintenance of
professional accounting standards

2.4 Schedules are established that are realistic and feasible in
the context of the organisation’s short-term and long-term

3. Review resource use 3.1 Sources of data input are monitored to identify influences
and variations in returns and costs

3.2 Estimates of stock levels are monitored and reviewed to
ensure appropriate stocking and ordering of materials and
inventory items

3.3 Records of resource use are compared with unit cost
estimates to evaluate projected costs

3.4 Factors influencing resource use in the future are analysed
to assess impact on operations and objectives

4. Monitor plans 4.1 Implementation is adjusted to take account of emerging
external influences and the establishment of alternative

4.2 Costs of plans are monitored and controlled by evaluating
net benefits to operations from the allocation of resources

4.3 Internal control systems are adjusted to ensure the
maintenance and achievement of accounting standards

Learning Outcomes

Overview of Assessment

Overview of Assessment 

Students must demonstrate an understanding of all elements of competency to be deemed competent.

A range of assessment methods are used to assess practical skills and knowledge, for example:
• direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
• review of authenticated documents from the workplace or training environment
• demonstration of techniques

Critical aspects of assessment

Evidence of the ability to:

  • use internal control systems and meet organisational policies and procedures
  • apply professional accounting standards in identifying strengths and weaknesses within organisational policies and procedures
  • evaluate information systems
  • develop implementation plans
  • review resources and monitor plans.



This unit will be co-delivered and co-assessed with two other units, namely FNSACC602A ( Audit and report on financial systems and records ) and FNSACC604A ( Monitor corporate governance activities ).