2011 McGRAW-HILL/IRWIN FACT SHEET

Auditing & Assurance Services: A Systematic Approach, Eighth Edition

William F. Messier Jr., University of Nevada, Las Vegas
Steven M. Glover, Brigham Young University
Douglas F. Prawitt, Brigham Young University
Pub Date: 09/16/2011
Approximate Net Price: $141.75
Publisher: Tim Vertovec
Sponsoring Editor: Donna Dillon
Developmental Editor: Katie Jones
Editorial Coordinator: Jessica Wiley
Marketing Director: Brad Parkins
Marketing Manager: Michelle Heaster
Mandatory Package ISBN (w/ACL Software): 0077520157
Hardcover / 784 pages / 8.5 x 11 / 2 colors
Course: Auditing is typically offered in the senior year to all accounting majors and there is some movement to
two Auditing courses in the 150-hour programs. Messier is aimed at auditing courses using the cycles approach,
which was first introduced by the market-leading textbook written by Arens/Loebbecke (Prentice Hall). Cycles
now typically referred to as business processes are sets of accounts and business activities that go together in
an accounting system. Messier focuses on business processes and the audit-risk model.
Overview: The authors believe students are best served by acquiring a strong understanding of the basic
concepts that underlie the audit process and how to apply those concepts to various audit and assurance
services. The primary purpose for an auditing text is not to serve as a reference manual but to facilitate student
learning, and this text is written accordingly. The text is accessible to students through straightforward writing and
the use of engaging, relevant real-world examples, illustrations, and analogies. The text explicitly encourages
students to think through fundamental concepts and to avoid trying to learn auditing through rote memorization.
Students are prompted by the text to stop and think, at important points in the text, in order to help them apply
the principles covered.
The text continues to take a systematic approach to the audit process by first introducing the three underlying
concepts: audit risk, materiality, and evidence. This is followed by a discussion of audit planning, the assessment
of control risk, and a discussion of the nature, timing, and extent of evidence necessary to reach the appropriate
level of detection risk. These concepts are then applied to each major business process and related account
balances using a risk-based approach.
In covering these important concepts and their applications, the book focuses on critical judgments and decisionmaking processes followed by auditors. Much of auditing practice involves the application of auditor judgment. If a
student understands these basic concepts and how to apply them to an audit engagement, he or she will be more
effective in todays dynamic audit environment.
New Features:
In this revision the authors focused on making the most student-friendly intro auditing book on the market even
more clear and understandable. This was accomplished primarily by:

Connect Accounting Now Available for the first time! Connect offers instructors the ability to assign endof-chapter homework and test bank content electronically, providing immediate feedback to students and
grading for the instructors, and also contains , an integrated, searchable eBook.. In addition, students can
practice and apply the auditing concepts they learn in class and from their book through new Interactive
Applications found within Connect, including drag-and-drop, sequencing, and comprehension case types.
The PCAOBs new Risk Assessment Standards integrated throughout the book
References to auditing standards have been updated to reflect the new codification of AICPA ASB clarity
standards
EarthWear Clothiers case has been updated and integrated throughout the book,the Online
Learning Center and now also available through Connect Accounting!

Chapter reorganization - Chapters 35 have been rearranged to provide a better presentation of audit
planning and the three major concepts that underlie auditing. Chapter 3 now starts with audit planning, types
of audit tests, and materiality. Chapter 4 focuses on risk assessment, and Chapter 5 covers audit evidence
and audit documentation.
Clarifying meaning of technical business and accounting jargon
Improved linkage between chapter content and end-of-chapter material
Professional Judgment - authors worked with KPMG to develop a monograph designed to accelerate the
development of professional judgment in students. A brief overview of professional judgment is provided on
the text website (www.mhhe.com/messier8e) that you can assign as reading for your students as you see fit.

Retained Features:

Stop and Think and Test your Intuition phrases to encourage students to more fully internalize key
concepts
Hands-on Mini-Cases associated with the running case fictional company, EarthWear. These cases have
been added to several chapters, and provide hands-on experiences for students to examine documents and
perform relevant audit procedures discussed in the chapters. Available on the texts Web site.
Practice Insight Boxes highlight important and interesting real world trends as well as current practices to
enhance student interest.
Kaplan CPA Exam Simulations, referenced in the text end-of-chapter material and located on the Online
Learning Center, reflect the new task-based CPA exam format. Students will prepare for the exam using an
interface that matches that of the real CPA exam.
ACL Audit Software is packaged for free with every new copy of the 8th edition. At least 12 basic ACL
assignments are found on the text Online Learning Center (http://www.mhhe.com/messier8e) for each
chapter of the text. These EarthWear-specific or stand alone assignments will allow students to test controls,
perform audit sampling and other analysis.
More End of Chapter Problem Material: The expanded end of chapter material includes review questions,
multiple-choice questions from CPA examinations, problems, Internet assignments, discussion cases, and
ACL assignments. Problems are drawn from the CPA and CIA examinations and from new material
developed by co-authors Steven Glover and Douglas Prawitt.
Interactive Running Case: The case involving fictitious catalog sportswear retailer called EarthWear is
retained in this edition. The 4-color EarthWear annual report has been updated and is still included after
Chapter 1. The Online Learning Center includes company information such as company profile, people, and
financial statements. Actual screen shots from the EarthWear Web site are featured throughout the text.
From the website, students can link to information about Willis & Adams, the public accounting firm
performing the audit. An extension of the text material, students will be able to go to these regularly updated
Web sites to find interesting applications of auditing practices.
Delay of Legal Liabilities and Ethics: Most texts cover these topics in chapters 3 and 4. Messier is the only
text that delays legal liabilities and ethics until chapters 19 and 20. In postponing the chapters, Messier
allows students to learn the basic audit process before introducing them to these broader topics. Legal
liabilities and ethics become more relevant and understandable after decision-making has been introduced
and covered throughout the text.
Brief: Messier has remained one of the briefest texts on the market, by limiting the historically dry explanation
of the auditing profession to one chapter.
Represents Computerized Systems: Many texts still downplay the role of technology in auditing, but the
Messier text assumes business processes are computerized. The design will highlight this feature, as does
the web site and the entire EarthWear case.

Online Supplements:
***Connect Accounting***
Now available with Messier 8e, McGraw-Hills Connect Accounting offers a number of powerful tools and
features to make managing assignments easier, so you can spend more time teaching. Accounting is learned by
practicing and developing problem-solving skills the more practice, the better.
Connect Accounting for Auditing provides:
-Interactive Applications allows students to apply the concepts they learn to their Connect assignments.
-Automated grading saves instructor time.

2011 McGRAW-HILL/IRWIN FACT SHEET

-Immediate feedback teaches students the right way to solve problems.
-Integrated eBook (Connect Plus feature) provides relevant links to the text from the assigned homework
problems and offers key word search functionality.
Online Learning Center (OLC)
www.mhhe.com/messier8e
The Instructor Edition of the Auditing & Assurance Services, 8e OLC is password-protected and another
convenient place for instructors to access essential course supplements. Additional resources include: Links to
Professional Resources, Sample Syllabi, Text Updates, and Solutions to ACL assignments
The Student Edition of the Auditing & Assurance Services, 8e OLC contains tools designed to enhance students
learning experience: Chapter Learning Objectives, Relevant Accounting and Auditing Pronouncements by
Chapter, Multiple-Choice Quizzes, PowerPoint Presentations, Auditing Web Links, text updates, and new taskbased Kaplan CPA Simulations that match the new format of the CPA exam
Should the instructor choose to integrate ACL into their course, assignment material, which requires students to
use the software issued for free with their text, is located on the OLC.
The homepages for EarthWear Clothiers and Willis & Adams, CPAs are also located here.

Instructor Supplements:

Instructors Resource CD-ROM (ISBN 9780077425937, MHID 0077425936): Contains all essential course
supplements:
o Solutions Manual, revised by William F. Messier, Jr., Steven M. Glover, and Douglas F. Prawitt
o Instructors Manual, revised by Cassy Budd, Brigham Young University, and the text authors
o Test Bank with AACSB, AICPA, and Blooms Taxonomy tags, revised by Cassy Budd and the text
authors
o Instructor PowerPoint Presentations, revised by Cassy Budd and the text authors
o EarthWear Minicase Solutions
o Solutions to ACL assignments
Online Learning Center (OLC): mhhe.com/messier8e
The Instructor Edition of the Auditing & Assurance Services, 8e OLC is password-protected
and another convenient place for instructors to access essential course supplements. The OLC
contains the same instructor materials available on the Instructors Resource CD. Additional
resources include: Access to EZ Test Online (McGraw-Hills flexible electronic testing program),
Links to Professional Resources, Sample Syllabi, Text Updates, and Digital Image
Library.

Student Supplements:
Online Learning Center (OLC): mhhe.com/messier8e
The Student Edition contains tools designed to enhance students learning experience:
EarthWear Mini-Cases, by Messier, Glover, and Prawitt
ACL Assignments, by Messier, Glover, and Prawitt
Roger Company ACL files for use with assignments
Kaplan CPA Review Simulations
Online multiple choice chapter quizzes, by Cassy Budd, Brigham Young University, and
revised by the text authors
Student PowerPoint Presentations, by Cassy Budd and revised by the text authors
Relevant Accounting and Auditing Pronouncements by chapter
Link to EarthWear Clothiers home page
Link to Willis & Adams, CPAs home page
New Professional Judgment module

Table of Contents:
Part I Introduction to Assurance and Financial Statement Auditing
Chapter 1 An Introduction to Assurance and Financial Statement Auditing
Chapter 2 The Financial Statement Auditing Environment
Part II Audit Planning and Basic Auditing Concepts
Chapter 3 Audit Planning, Types of Audit Tests, and Materiality
Chapter 4 Risk Assessment
Chapter 5 Evidence and Documentation
Part III Understanding the Auditing Internal Control
Chapter 6 Internal Control in a Financial Statement Audit
Chapter 7 Auditing Internal Control over Financial Reporting
Part IV Statistical and Nonstatistical Sampling Tools for Auditing
Chapter 8 Audit Sampling: An Overview and Application to Tests of Controls
Chapter 9 Audit Sampling: An Application to Substantive Tests of Account Balances
Part V Auditing Business Processes
Chapter 10 Auditing the Revenue Process
Chapter 11 Auditing the Purchasing Process
Chapter 12 Auditing the Human Resource Management Process
Chapter 13 Auditing the Inventory Management Process
Chapter 14 Auditing the Financing/Investing Process: Prepaid Expenses, Intangible Assets, and Property, Plant
and Equipment
Chapter 15 Auditing the Financing/Investing Process: Long-Term Liabilities, Stockholders Equity, and Income
Statement Accounts
Chapter 16 Auditing the Financing/Investing Process: Cash and Investments
Part VI Completing the Audit and Reporting Responsibilities
Chapter 17 Completing the Audit Engagement
Chapter 18 Reports on Audited Financial Statements
Part VII Professional Responsibilities
Chapter 19 Professional Conduct, Independence, and Quality Control
Chapter 20 Legal Liability
Part VIII Assurance, Attestation, and Internal Auditing Services
Chapter 21 Assurance, Attestation, and Internal Auditing Services
(New Professional Judgment module located at http://www.mhhe.com/messier8e)