Advanced Auditing
Objective • Explore the nature of internal controls in business organizations.
• To relate the concept of internal control on classroom to those in practice.
• To apply the skills/ method used by auditors to document the internal control system
Learning Outcome • Understand and appreciate the nature and significance of internal control.
• Understand the actual practice of the internal control systems in an organization.
• Understand the nature and method applied by auditors concerning their responsibility in internal controls.
• Apply all relevant communication skills to communicate with others particularly in data collection.
General guidelines
1. Topic: The internal Control System and Procedures in XYZ: A Case of XYZ System
a. Identify an organization
b. Identify a specific process in the organization that is related to the accounting cycles (refer text book).
c. Please confirm the title and selected process before proceed.
2. Structure of the report
a. An overview of the company/ organization
b. Detail description about the selected process (narrative)
i. The whole process
ii. The types of documentation involves in the process
iii. Category of control activities at each step in the process
iv. Identify any control weaknesses in the process
v. Suggestion of control activities needed to improve the system
c. Present the above description using relevant flowcharts
d. Conclusion on the overall internal control of the system (ignoring the control assessment part).
3. The format of the report.
a. Cover
b. Title page
c. Acknowledgement
d. Table of contents
e. The main part of the report as per (2) above.
f. Proper acknowledgement from the executive involves.
g. Consistent font and type (TNR/Arial/Calibri
4. Submission
a. Hard copy
b. Late submission subject to 5% deduction of marks.
5. Assessment specifications
a. The originality of the report
b. The extent of details provided
c. The accuracy of flowcharts presented
d. The ability to accurately identify the control weaknesses
e. The ability to suggest the possible control improvements
f. The overall format (consistent/ formal and well organized)
6. References:
a. Mainly refers lectures on internal controls in Unit 1 and 2
b. May get initial ideas on the accounting cycles from text book.
No. Element Assessment Criteria Grade
1 Format • Cover
• Title page
• Acknowledgement
• Table of contents
• Proper acknowledgement from the executive involves.
• Consistent font and type (TNR/Arial/Calibri)
2 Submission • Hard copy
3 The contents • The originality of the report
• The extent of details provided
• The accuracy of flowcharts presented
• The ability to accurately identify the control weaknesses
• The ability to suggest the possible control improvements
Deduction of marks
Total Marks