Final Exam Coverage

Following table summarizes the key aspects of what will be covered on

the midterm exam. There may be a small portion of the exam that
covers areas not listed below.
Class 1 Overview of Auditing Definition, CAS
Different Levels of Assurance
Audits, reviews, compilations
Audit of Financial Information other than F/S (5805)
Audit for compliance with a Contract, Agreement (5815)
Class 2 Auditor Reporting
Components
Types of Audit Reports 5 types
Ethics & Rules/Code of Professional Conduct
listed in lecture notes and covered in homework
5 facets/pillars of independence
Class 3 Legal liability
Focus on lecture notes
Due Care
Business Failure, Audit Failure, Audit Risk
Negligence
Assertions
Class 4 Evidence
Tree of SAAE
Analytical Procedures
Class 5 Audit Risk Model
Class 6 Materiality
Audit Planning I
Client Acceptance Issues Preplanning
Risk assessment, Tests of Controls, Substantive Tests
Class 7 Midterm
Class 8 Internal Controls & Control Risk
Definition of Internal Control
Practical/Inherent Limitations
Components of Internal Control
Control Environment
Substantive Procedures
Audit Approaches
Class 9 Fraud
Fraud versus Error
Fraud Triangle
Auditors Role, Responsibilities, Responses
Sampling Concepts
Considerations for sample size
Methodologies
Class 10 Business Functions and Documents in the RRR Cycle
Sales Class
Cash Receipts Class
Class 11 RRR Cycle continued Receivables
Link between Classes of Transactions and Account
Balances
Confirmation Process
Alternative Procedures

Business Functions and Documents in the PPP Cycle

Acquisitions Class
Cash Disbursements Class

Class 12 Inventory Cycle

Class 13 Completing the Audit
Quantitative and Qualitative considerations
Summarize errors, compare to materiality
1. Multiple Choice
2. Short Answer
3. Longer Answer

Bring UBC Student Card, calculator