Vocational Skills in Accounting - V Notes | B.Com. (Accountancy) Semester 3 | Mumbai University | munotes

Contents

Module I Introduction to Auditing

1. What Auditing Is 1
2. Financial Statements and the Users of the Information 4
3. The Objectives of Auditing 7
4. The Inherent Limitations of an Audit 10
5. Accounting Compared with Auditing 12
6. Investigation Compared with Auditing 14
7. Errors: Definitions, Reasons and Types 16
8. Frauds: Definitions, Circumstances and Types 19
9. The Risk of Fraud and Error in an Audit 22
10. The Auditor's Duties and Responsibilities in the Case of Fraud 25
11. The Principles of Audit 28
12. Materiality 31
13. True and Fair View 33
14. Types of Audit by When the Work Is Done 36
15. Types of Audit by Scope and by Compulsion 39
16. Practice Questions: Introduction to Auditing 42

Module II Audit Planning, Procedures and Documentation

1. Audit Planning: Meaning and Objectives 46
2. The Factors to Be Considered in Planning 48
3. The Sources of Obtaining Information 51
4. Discussion with the Client 54
5. The Overall Audit Approach 56
6. The Audit Programme: Meaning and Factors 58
7. Advantages and Disadvantages of an Audit Programme 61
8. Methods of Work, and Instructions Before Commencing 63
9. Audit Working Papers: Meaning and Importance 65
10. The Form, Contents and Features of Working Papers 67
11. The Permanent and the Temporary Audit File 69
12. Ownership, Custody, and Access by Other Parties 72
13. The Auditor's Lien on Working Papers and on the Client's Books 74
14. Practice Questions: Planning, Programme and Working Papers 77

Module Appendix Appendix: the Companies Act 2013 on audit and auditors

1. The Statutory Frame: Chapter X of the Companies Act 2013 82
2. Appointment, Removal and Resignation of the Auditor 84
3. Who May Be an Auditor, and What He Is Paid 87
4. The Powers and Duties of the Auditor 90
5. Services the Auditor May Not Render, Signing, Attendance and Punishment 93
6. The Cost Audit 96