FAU Textbook Syllabus
Chapter 1
Syllabus A. Business Environment And Audit Framework
A1. The purpose and scope of an audit
A2. The legal duties of auditors
- A2a. Appointment of the Auditor1:37
- A2a. Auditor Removal1:28
- A2bc. Duties / Rights of the Auditor5:50
A3. Professional ethics
- A3a. Fundamental Principles2:23
- A3b. Threats5:18
- A3b. Typical threats6:47
- A3b. More threats
- A3b. Safeguards4:30
- A3c. Independence & Confidentiality1:03
A4. The liability of auditors
- A4a. The Expectation Gap
- A4ab. Liability of auditors under contract and negligence to clients
- A4b. Liability of auditors to third parties
A5. Audit regulation
A6. Internal Audit
All subject exam questionsChapter 2
Syllabus B. Audit Planning And Risk
B1. Audit risk and risk assessment
- B1a. Components of Audit Risk16:57
- B1ab. Affecting Audit Risk2:21
- B1b. Risk-based approach to the audit
- B1c. Materiality3:20
B2. Understanding the entity and its environment
All subject exam questionsB3. Audit strategy and the audit plan
- B3a. Why Plan an Audit?1:58
- B3b. Contents of the Plan1:11
- B3b. Audit Strategy vs Audit Plan
- B3c. Analytical Procedures in Planning3:46
- B3c. Key ratios used in analytical procedures
- B3d. Planning issues such as staffing
- B3e. Audit programmes
B4. Audit documentation
- B4a. Importance of Documentation
- B4b. Contents of Documentation
- B4c. Quality control procedures
- B4cd. Keeping Working Papers
Chapter 3
Syllabus C. Internal Control
C1. General principles of internal control
- C1ac. The 5 components of Internal Control4:06
- C1bd. Understanding the Controls
- C1c. Limitations of an internal control system
C2. Techniques to record and evaluate accounting systems
- C2abc. How Auditors Record Systems
- C2d. How Auditors Identify Deficiencies
- C2d. Evaluation of Internal Controls
C3. Tests of controls
- C3ac. Purchases
- C3ac. Revenue (Sales Cycle)
- C3ac. Payroll
- C3ac. Capital expenditure
- C3ac. Inventory
- C3ac. Inventory System continued
- C3ac. Bank & Cash
- C3bd. Control v Substantive Tests3:24
- C3efg. Application & General IT controls
C4. Communicating control deficiencies
Chapter 4
Syllabus D. Audit Evidence And Procedures
D1. Audit evidence
All subject exam questionsD2. Audit procedures
- D2a. The Assertions Explained3:19
- D2b. Using Assertions
- D2c. Procedures for obtaining evidence
- D2c. Analytical procedures4:04
D3. Substantive procedures
- D3b. Receivables - The Assertions
- D3b. Receivables - Direct Confirmation7:14
- D3b. Receivables - Other Evidence1:06
- D3b. Receivables - Prepayments
- D3b. Revenues - Substantive procedures
- D3b. Payables - Trade
- D3b. Payables - Accruals
- D3b. Payables - Provisions
- D3b. Payables - Non-current Liabilities
- D3b. Bank & Cash
- D3b. Non-current Assets - Tangible
- D3b. Non-current Assets - Intangible
- D3b. Investments
- D3c. Inventory - and the Assertions
- D3de. Inventory - The Physical Count
- D3d. Inventory - Possible Count Weaknesses
- D3f. Inventory - Valuation
- D3f. Inventory - Cut-off
D4. Audit sampling
- D4a. Definition & need
- D4b. Statistical or non-statistical?
- D4b. Methods of Sampling
- D4c. Misstatement or deviation
D5. Computer-assisted audit techniques (CAATs)
Chapter 5
Syllabus E. Audit Completion
E1. Going concern
- E1a. Going Concern Responsibilities
- E1a. The need for going concern reviews
- E1b. Going Concern Review & Indicators5:03
- E1c. Going Concern Disclosures and Reporting