Course Title: Conduct internal audit

Part B: Course Detail

Teaching Period: Term2 2013

Course Code: ACCT5321C

Course Title: Conduct internal audit

School: 650T TAFE Business

Campus: City Campus

Program: C6113 - Advanced Diploma of Accounting

Course Contact : Maurice Sheridan

Course Contact Phone: +61 3 99255455

Course Contact Email:maurice.sheridan@rmit.edu.au


Name and Contact Details of All Other Relevant Staff

Colin Bryon

colin.bryon@rmit.edu.au

Nominal Hours: 40

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.

Pre-requisites and Co-requisites

FNSACC506A - Implement and maintain internal control procedures.

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.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

FNSACC606A Conduct internal audit

Element:

ELEMENT PERFORMANCE CRITERIA


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
requirements

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
objectives


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
targets

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

Performance Criteria:

1. Evaluate information systems

1.1. System specifications are evaluated against user requirements 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 requirements
1.5. Enquiries regarding use of systems are monitored and recorded to ensure ongoing evaluation
 

2. Develop implementation plans

2.1. Principles, procedures and processes arising from internal 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 objectives
 

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 targets
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



Details of Learning Activities

Students will be required to read the course text before coming to class, the class is structured so that the reading is completed out of class

Disscusion will revolve around the review questions, which students will be required to partake in. Student will needd to submit a weekly blog that indicates their understanding of the material and the course case study.

There will be three online tests that the students need to pass in order to be deemed competent. Completion of the BLOG will also contribute to competency


Teaching Schedule

Teaching Schedule for Semester 2 2013
WeekWeek CommencingTopic OutlineClass workBLOG
108-July-2013Introduction and Overview of Audit and Assurance "Review Questions
1.1, 1.2, 1.3, 1.5, 1.7, 1.8"
 Cloud 9
215-July-2013Ethics, legal liability and client acceptance "Review Questions
2.1, 2.2, 2.3, 2.4, 2.7
 Cloud 9
322-July-2013Audit planning 1 "Review Questions
3.1, 3.3, 3.4, 3.5, 3.9"
 Cloud 9
429-July-2013Online Test topics one and two  
505-August-2013Audit planning 2 "Review Questions
4.1, 4.2, 4.3, 4.5, 4.8"
 Cloud 9
612-August-2013Audit Evidence "Review Questions
5.1, 5.2, 5.3, 5.5, 5.8"
 Cloud 9
719-August-2013Overview of test of controls, substantive procedures and sampling "Review Questions
6.1, 6.2, 6.3, 6.4, 6.6"
 Cloud 9
826-August-2013
 
Gaining an understanding of the client’s systems of internal controls
 
 "Review Questions
7.1, 7.2, 7.4, 7.6, 7.7, 7.10"
 
 Cloud 9
 Semester Break
 
   
909-September-2013
 
Online Test topics 3, 4, 5, 6, 7
 
  
1016-September-2013Execution of Audit - Testing of controls "Review Questions
8.1, 8.2, 8.3, 8.5, 8.6, 8.9"
 Cloud 9
1123-September-2013Execution of Audit - performing substantive procedure "Review Questions
9.2, 9.3, 9.4, 9.5, 9.6"
 Cloud 9
1230-September-2013Substantive testing and balance sheet accounts "Review Questions
10.1, 10.3, 10.4, 10.5, 10.7"
 Cloud 9
1307-October-2013Substantive testing andincome statement accounts "Review Questions
11.1, 11.2, 11.3, 11.4, 11.6"
 Cloud 9
1414-October-2013Completing and reporting on the audit "Review Questions
12.1, 12.2, 12.3, 12.4, 12.5."
 Cloud 9
1521-October-2013Online Test topics 8, 9, 10, 11, 12  
1628-October-2013Retesting  


 


Learning Resources

Prescribed Texts

Auditing a practical approach, Moroney, Cambell, Hamilton

9781742165943


References


Other Resources

All other resources are provided on Blackboard.


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.

 

PLEASE NOTE:

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 ).


Assessment Tasks

Assessment task,

Online test one, the test will consist of MQC and True/False questions, the student has one week to complete the assessment

Online test two the test will consist of MQC and True/False questions, the student has one week to complete the assessment

Online test three the test will consist of MQC and True/False questions, the student has one week to complete the assessment

Weekly BLOG. A blog of the Cloud 9 case study will need to be completed on a weekly basis, these blogs will be formed from the class discussions on the case.


Assessment Matrix

Course Overview: Access Course Overview