Course Title: Conduct internal audit

Part B: Course Detail

Teaching Period: Term1 2014

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 Byron - colin.byron@rmit.edu.au

Claudio Marasco - claudio.marasco@rmit.edu.au 99251651

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 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


Learning Outcomes



Details of Learning Activities

Primarily you will be learning face to face, with an online course site (Blackboard) used to disseminate materials, including videos, notes and activities and to provide access to on-line assessments & assessment submission points.
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.
Students will be placed into teams of two and will be allocated one specific topic from the textbook to research and present to the class. This will contribute to competency. In class, students will be assigned Review Questions from the text book to complete to indicate their understanding of the course material. Students will also need to submit a series of BLOG’s from the Practical Application Questions from the textbook. Completing of the BLOG will also contribute to competency.
There will be three on-line tests that the students need to pass in order to be deemed competent.


Teaching Schedule

WeekWeek CommencingTopic  Outline/AssessmentClass WorkBLOG Activity
110-Feb-2104Introduction and overview of Audit & Assurance

Review Questions

1.11,1.12,1.13,1.15,1.17,1.18

Professional Application Questions (PAQ)

1.23, 1.32

217-Feb 2014Ethics, legal liability and client acceptance

Review Questions

2.11,2.12,2.13, 2.15,2.17,2.18

PAQ

2.23,2.30

324-Feb-2014Risk Assessment 1

Review Questions

3.11,3.13,3.14,3.15,3.20

PAQ

3.25,3.27

43-Mar-2014On-Line Test - Topics 1 & 2  
510-Mar-2014Risk Assessment 2

Review Questions

4.11,4.12,4.13,4.16,4.19

PAQ

4.27,4.29

 6 17-Mar-2014 Audit Evidence

 Review Questions

5.11,5.12,5.13,5.15,5.18

 PAQ

5.24

 724-Mar-2014 Gaining an understanding of the client’s system of internal controls

 Review Questions

6.11,6.12,6.14,6.16,6.17,6.20

 PAQ

6.25

 8 31-Mar-2014 Sampling & overviewof the risk response phase of the audit

 Review Questions

7.11,7.12,7.13,7.16,7.17,7.19,7.22

 PAQ

7.25

 9 7-Apr-2014 On-Line Test - topics 3,4,5,6,7  
 10 14-Apr-2014 Execution of the Audit - Tesing of Controls

 Review Questions

8.12,8.13,8.14,8.16,8.17,8.18,8.21

 

 

  21-Apr-2014 MID SEMESTER BREAK  
 11 28-Apr-2014 Execution of the Audit - Performing Substantive procedures

 Review Questions

9.12,9.13,9.14,9.15, 9.16

 
 12 5-May 2014 Substantive Testing & Balance Sheet Accounts

 Review Questions

10.11,10.13,10.14,10.15,10.17

 PAQ

10.27

 13 12 May-2014 Substantive testing & Income Statement accounts

 Review Quesions

11.12,11.13,11.14,11.15,11.16

 PAQ

11.28

 14 19-May-2014 Completing and reporting on the Audit

 Review Questions

12.11,12.13,12.14,12.16

 PAQ

12.24

 15 26-May-2014 Online test - Topics 8,9,10,11  


Learning Resources

Prescribed Texts

Auditing - A Practical Approach Moroney, Campbell, Hamilton- Edition 2


References


Other Resources

FOR ONLINE COLLABORATE SESSION, PLEASE ENSURE YOU HAVE JAVE INSTALLED ON YOUR COMPUTER https://java.com/en/download/index.jsp AND A HEADSET AND MICROPHONE


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 may incorporate a variety of methods including technical requirements documentation, homework, assignments, group and/or individual projects, in class exercises, written and practical tests, problem solving exercises, presentations, direct observation of actual and simulated work practice, presentation of a portfolio of evidence which may comprise documents, and/or photographs and/or video and audio files, review of products produced through work-based or course activities.

Students are advised that they are likely to be asked to personally demonstrate their assessment work to their teacher to ensure that the relevant competency standards are being met. Students will be provided with feedback throughout the course to check their progress

PLEASE NOTE:
This unit will be co-delivered and co-assessed with one other unit namely FNSACC602A ( Audit & Report on Financial Systems & Records)

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:



• interpret and analyse organisational financial policies and procedures
• comply with relevant professional standards and internal control procedures
• access options to determine financial audit strategies
• schedule resources and timelines and monitor progress
• review data, verify financial statements and determine reporting formats.


Assessment Tasks
1. Team Presentation
All students will be divided into teams of 2 and be allocated a topic from the Auditing - A Practical Approach textbook. The teams will research the topic and present the key learnings to the class. The students will be assessed as Competent based on criteria set in an assessment rubric.
2. Weekly Blog
Weekly Questions set from the Practical Application Questions from the text will need to be completed by all students They must be submitted online via a weekly Blog.
3. Online Tests
3 On-Line tests will be scheduled during the semester. Thes tests will consist of MCQ and True/False questions. The students will be allowed multiple attempts to attain competency.
Assessment Matrix
Late Submission Procedures
You are required to submit assessment items and/or ensure performance based assessment is completed by the due dates.
If you are prevented from submitting an assessment item on time, by circumstances outside your control, you may apply in advance to your teacher for an extension to the due date of up to seven calendar days.
More Information: http://www.rmit.edu.au/students/assessment/extension
Form to use: http://mams.rmit.edu.au/seca86tti4g4z.pdf
Where an extension of greater than seven days is needed, you must apply for special consideration. Applications for special consideration must be submitted no later than two working days after the assessment task deadline or scheduled examination.
More Information: http://www.rmit.edu.au/browse;ID=g43abm17hc9w
Form to use: http://mams.rmit.edu.au/8a5dgcaqvaes1.pdf
Resubmissions (VET Programs):
If you are found to be Not Yet Competent in a Course Assessment Task you will be allowed one resubmission only. Your teacher will provide feedback regarding what you need to do to improve and will set a new deadline for the resubmission. The highest grade you will receive if your resubmission is successful is “CAG”.
If you are still not meeting the assessment requirements you must apply to your Program Manager in writing outlining the steps you will take to demonstrate competence in your course. Your submission will be considered by the Program Team and you will be advised of the outcome as soon as possible.
Adjustments to Assessment
In certain circumstances students may be eligible for an assessment adjustment. For more information about the circumstances under which the assessment arrangements might be granted please access the following website:
More Information: http://rmit.edu.au/browse;ID=7usdbki1fjf31

Other Information

When submitting assessments you should:
• Ensure that you submit assessments on or before the due date. If your performance in the assessment is affected by unexpected circumstances, you should consider applying for Special Consideration. Information on the process and application forms is available at http://rmit.edu.au/browse;ID=ls0ydfokry9rz website.
• Always retain a copy of your assessment tasks. (hard copy and soft copy)
• When you submit work for assessment at RMIT University you need to use a cover sheet that includes a declaration and statement of authorship. You must complete, sign and submit a cover sheet with all work you submit for assessment, whether individual or group work. On the cover sheet you declare that the work you are presenting for assessment is your own work. An assignment cover sheet for submission of work for assessment is available on blackboard.
• Each page of your assessment should include footer with your name, student number, the title of the assessment, unit code and title and page numbers.
Marking Guide (competency):
Vocational Education and Training (VET) is based on current industry needs and the focus on preparing you for the workplace. Because VET courses are informed by practical application of knowledge and skills, they are based on a system known as ‘competency based training’ (CBT). So when you are assessed in VET it is about whether you are competent to do the job, as well as having a firm grasp on the knowledge and skills required to do that job, as opposed to traditional curriculum based education settings that are often based on knowledge retention.
You need to demonstrate you are competent in each element of the unit of competency you are studying.
You will receive feedback on each assessment task that will inform you whether you are competent or not and how well you are performing. Once competent in all elements of the unit you receive a competency grading.
Please refer to the Final Grades table below.
Marking Guide (Grading)
After achieving competency we then grade your performance in the unit; this gives you the opportunity to have the level of your performance formally recognized against industry standards and employability skills.
The grading is according to the following criteria:
1. LEVEL OF INDEPENDENCE, INITIATIVE, ENTERPRISE AND PERFORMANCE OF WORK TASK
We are looking for a high level of ability to complete all tasks independently as well as demonstrating a high level of initiative while proccessing transactions and extracting reports.
2. DEMONSTRATED BREADTH OF UNDERPINNING KNOWLEDGE AND A WILLINGNESS TO CONTINUE LEARNING
We are looking for depth of understanding of the key concepts and knowledge required in processing financial transactions. You should be able to demonstrate a thorough understanding of double entry bookkeeping principles and procedures involved when processing financial transactions and preparing reports.
3. TECHNIQUES & PROCESSES, TECHNOLOGY SKILLS AND PROBLEM SOLVING
We are looking for techniques to be used in problem solving, using appropriate technology and methodology to assist in recording data and preparing reports. You also need to show an understanding of the kinds of problems that can arise in bookkeeping and reporting.
4. WORK ORGANISATION, PLANNING AND SELF MANAGEMENT
We expect to see effective planning, self management & work organization resulting in timely submission of all required assessment tasks
5. COMMUNICATION, PEOPLE NETWORKING, LANGUAGE AND INTERPERSONAL SKILLS AND TEAMWORK
We expect to see contributions to relevant discussions. In addition you should demonstrate a range of well-developed interpersonal skills appropriate to each task
Final Grades table:

CHD Competent with High Distinction
CDI Competent with Distinction
CC Competent with Credit
CAG Competency Achieved – Graded
NYC Not Yet Competent
DNS Did Not Submit for assessment

Further information regarding the application of the grading criteria will be provided by your teacher.

Late Submission Procedures

You are required to submit assessment items and/or ensure performance based assessment is completed by the due dates.
If you are prevented from submitting an assessment item on time, by circumstances outside your control, you may apply in advance to your teacher for an extension to the due date of up to seven calendar days.
More Information: http://www.rmit.edu.au/students/assessment/extension
Form to use: http://mams.rmit.edu.au/seca86tti4g4z.pdf
Where an extension of greater than seven days is needed, you must apply for special consideration. Applications for special consideration must be submitted no later than two working days after the assessment task deadline or scheduled examination.
More Information: http://www.rmit.edu.au/browse;ID=g43abm17hc9w
Form to use: http://mams.rmit.edu.au/8a5dgcaqvaes1.pdf
Resubmissions (VET Programs):
If you are found to be Not Yet Competent in a Course Assessment Task you will be allowed one resubmission only. Your teacher will provide feedback regarding what you need to do to improve and will set a new deadline for the resubmission. The highest grade you will receive if your resubmission is successful is “CAG”.
If you are still not meeting the assessment requirements you must apply to your Program Manager in writing outlining the steps you will take to demonstrate competence in your course. Your submission will be considered by the Program Team and you will be advised of the outcome as soon as possible.
Adjustments to Assessment
In certain circumstances students may be eligible for an assessment adjustment. For more information about the circumstances under which the assessment arrangements might be granted please access the following website:
More Information: http://rmit.edu.au/browse;ID=7usdbki1fjf31


Assessment Matrix

Course Overview: Access Course Overview