Auditing and Assurance (11762.1)

Required texts

Prescribed textbook:

Gay, G., & Simnett, R. (2023). Auditing & Assurance Services in Australia (8 ed.). Sydney, Australia: McGraw-Hill.

Please note that this is an e-book available through the Univeristy of Canbera Library:

You are welcome to purchase your own version of the text should you wish, but you can access for free through the library website: https://www.canberra.edu.au/library

Please search for Auditing & Assurance Services in Australia. You will likely need your student ID number and password to access the book. 

Please also note that there are a large number of auditing textbooks that you may wish to consult, but we have prescribed Gay & Simnett (2018) for this unit. There is a 8th edition of Gay and Simnett (2023) but this has not yet been added to the e-book service. We will make updates where necessary to the 2018 version of the textbook. 

Recommended reading:

You may find it useful to consult Australian financial and business media, professional journals such as the Australian Financial Review, Business Review Weekly, National Accountant, CA Magazine, Auditing and Standards Board of Australia. A range of excellent textbooks available in this area include:

a. Australian Auditing and Assurance Standards Board (2016), Auditing and Assurance Standards (AUS),available at: http://www.auasb.gov.au/Pronouncements/Auditing-and-Assurance-Standards.aspx

b. Chartered Accountants of Australia and New Zealand (various), Auditing, Assurance and Ethics Handbook (various)
c. Alvin, A. A. (2013). Auditing and Assurance Services in Australia, 9th edition, Prentice Hall: Sydney.
d. Jubb, C., Rittenberg, L.E., Johnstone, K.M. & Gamling, A (2012). Auditing: a business risk approach, Thomson/South-Western, Mason, Ohio. USA.
e. Soltani, B. (2007). Auditing: an international approach, Financial Times Prentice Hall, Harlow, England: New York. 

f. Louwers, T., Ramsay, R., Sinason, D. & Strawser, J. (2005). Auditing and Assurance Services, 1st Ed.; McGraw-Hill Irwin, Boston.
g. Power, M. (1997). The Audit Society: Rituals of Verification, Oxford University Press, Oxford, UK.

Journals are an important source of up-to-date information and reflections on challenges on current auditing and assurance practices. The following journal articles are also recommended:

a. A. Amran, A Manaf Rosli Bin, B Che Haat & Mohd Hassan (2009) Risk reporting: An exploratory study on risk management disclosure in Malaysian annual reports, Managerial Auditing Journal, Volume 24 (1): 39-57.
b. Arnold, B. & Paul de Lange (2004), Enron: an examination of agency problems, Critical Perspectives on Accounting, Volume 15, (6–7), August–October: 751-765.
c. Carey, P., W. Robert Knechel & George Tanewski (2013), Costs and Benefits of Mandatory Auditing ofFor-profit Private and Not-for-profit Companies in Australia, Australian Accounting Review, Volume 23,(1): 43–53.
d. Chabrak, C., & Nabyla Daidj (2007), Enron: Widespread myopia, Critical Perspectives on Accounting ,Volume 18, (5): 539-557. 
e. Christopher, J., Gerrit Sarens & Philomena Leung (2009), A critical analysis of the independence of the internal audit function: evidence from Australia Accounting, Auditing & Accountability Journal, Volume 22(2); 200 – 220.
f. Cooper, David J., Tina Dacin & Donald Palmer (2003), Fraud in accounting, organizations, and society: Extending the boundaries of research, Accounting, Organizations and Society, Volume 38 (6–7): 440-457.
g. Deegan, C. & Michaela Rankin (1997), The materiality of environmental information to users of annual reports, Accounting, Auditing & Accountability Journal, Volume (10): 562 – 583.
h. El-Mary, E. & Kathryn A. Hansen (2008), Factors affecting auditors' utilization of evidential cues: Taxonomy and future research directions, Managerial Auditing Journal, Volume 23 (1): 26-50. 
i. Ettredge, M., Elizabeth Emeigh Fuerherm and Chan Li (2014), Fee pressure and audit quality, Accounting, Organizations and Society, Volume 39 (4): 247-263. 

j. Guénin-Paracini, H., Bertrand Malsch, Anne & Marché Paillé (2014), Fear and risk in the audit process, Accounting, Organizations and Society, Volume 39 (4): 264-288.
k. Guiral, A; Ruiz, W. & , Choi, H.J., (2014), Audit report information content and the provision of non-audit services: Evidence from Spanish lending decisions, Journal of International Accounting, Auditing and Taxation, Volume 23 (1): 44-57.

l. Humphrey, C., Anne Loft & Margaret Woods (2009), The global audit profession and the international financial architecture: Understanding regulatory relationships at a time of financial crisis, Accounting, Organizations and Society, Volume 34 (6-7): 810-825.
m. Fischer, M. J. (1996), Realizing the benefits of new technologies as a source of audit evidence: An interpretive field study, Accounting, Organizations and Society, Volume 21 (1-2): 219-242.
n. Jamal, J. & Shyam Sunder (2011), Is mandated independence necessary for audit quality?, Accounting, Organizations and Society, Volume 36 (4-5): 284-292.

o. Knechel, W.R. (2007), The business risk audit: Origins, obstacles and opportunities, Accounting, Organizations and Society Volume 32 (4): 383-408.
p. Koh, H.C. & E-Sah Woo, (1999), The expectation gap in auditing, Managerial Auditing Journal, Volume13 (3):147–154. 

q. McLeod, R. & Harun Harun (2014), Public Sector Accounting Reform at Local Government Level in Indonesia. Financial Accountability & Management, 30 (2): 238–258.
r. Unerman, J. & Brendan O'Dwyer (2004), Enron, WorldCom, Andersen et al.: a challenge to modernity, Critical Perspectives on Accounting, Volume 15 (6-7): 971-993.

Submission of assessment items

Extensions & Late submissions

Students are encouraged to submit all assessment items and this will provide the best pathway for success in the unit, but students must submit the two mandatory assessment items to be able to pass the unit

Use of AI is not permitted in this unit

The University's position is that artificial intelligence services must not be used for assessment or assessment preparation by students unless explicitly allowed in the assessment instructions for an assessment task published with the assessment task and/or in the unit outline. That is, an AI service may only be used if:

a) its use is authorised by the unit convener as part of the specified task; and

b) it is used in the way allowed in the assessment instructions and/or unit outline; and

c) its use is appropriately referenced, meaning that the students must reference the use of AI in their assessment in the same way as they reference other source material.

The use of AI has not been specified in the assessment instructions for the unit or in the unit outline and thus, AI is not a permissible resource. 

Students must apply academic integrity in their learning and research activities at UC. This includes submitting authentic and original work for assessments and properly acknowledging any sources used.

Academic integrity involves the ethical, honest and responsible use, creation and sharing of information. It is critical to the quality of higher education. Our academic integrity values are honesty, trust, fairness, respect, responsibility and courage.

UC students have to complete the Academic Integrity Module annually to learn about academic integrity and to understand the consequences of academic integrity breaches (or academic misconduct).

UC uses various strategies and systems, including detection software, to identify potential breaches of academic integrity. Suspected breaches may be investigated, and action can be taken when misconduct is found to have occurred.

Information is provided in the Academic Integrity Policy, Academic Integrity Procedure, and University of Canberra (Student Conduct) Rules 2023. For further advice, visit Study Skills.

Learner engagement

Please note that Auditing and Assurance can be conceptually challenging for many students, as it is a different mindset and introduces a new set of concepts, frameworks and processes to financial and management accounting. 

The invitation here is to be an active participant. This likely includes viewing the pre-recorded lecture material, studying the lecture slides, completing chapter readings as and when necesary, attending the online workshop and preparing for and attending the weekly tutorial. 

Participation requirements

You are encouraged to prepare for, attend and participate actively (comment, take notes, be active) in all workshops and tutorials. Active attendance involves note taking, answering questions, sharing ideas and learning from others in the class. This is the best method of preparing your own personal viewpoints for the purposes ofthe assessment, including the exam. Reading someone else's notes or watching a recording is pedagogically less useful than actively participating. Students are expected to be on-time for classes and please note the class is interactive.

Required IT skills

Students are expected to be able to use Microsoft Word in addition to University systems available over the Internet (e.g. MyUC, Email, E-Reserve, LearnOnline, Library Catalogue, and Library Databases).

Students are encouraged to use Zotero, Endnote or RefWorks for managing references for their assignment work.

As is common in the professional world, we will also be using Zoom or Blackboard Collaborate (Virtual Room). As this unit involves online meetings in real time using Virtual Room in your UCLearn teaching site or via Zoom, you will be able to communicate in real time with your lecturer and other students. To participate verbally, rather than just typing, you will need a microphone. For best audio quality we recommend a microphone and speaker, and or a headset. For more information and to test your computer, go to the Virtual Room in your UCLearn site and 'Join Course Room'. This will trigger a tutorial to help familiarise you with the functionality of the virtual room. Zoom has similar testing functions. 

When you enter the meeting room, please mute your microphone.

Please also note that as this is a unit associated with professional training, it makes sense that when you enter the online learning environment, you turn on your camera to introduce yourself to the class. Equally, as is good professional training, when asking a question, seeking clarification or adding to our discussion, it would be appropriate to turn on your camera and participate actively. This is considered more appropriate than merely typing into the chat function. A professional courtesy includes practicing your professional skills by having a visual presence.

Work placement, internships or practicums

None

• Semester 2, 2024, Flexible, UC - Canberra, Bruce (218764)
• Semester 2, 2024, On-campus, UC - Canberra, Bruce (221729)
• Semester 2, 2023, Flexible, UC - Canberra, Bruce (213370)
• Semester 2, 2022, Flexible, UC - Canberra, Bruce (209757)