Federation Business School BUACC3741: Auditing
Semester 3 2014 ASSIGNMENT
This assignment is to be completed in groups of three and comprises twenty per-cent of the marks for this course. There are 4 questions to discuss – each is worth 5 marks. 500 words each.
Assessment Criteria:
Student work will generally be assessed in terms of the following criteria:
1. Effectiveness of communication - ie readability, legibility, grammar, spelling, neatness, completeness and presentation will be a minimum threshold requirement for all written work submitted for assessment. Work that is illegible or incomprehensible and does not meet the minimum requirement will be awarded a fail grade.
2. Demonstrated understanding - This will be evidenced by the student's ability to be dialectical in the discussion of contentious issues.
3. Evidence of research - This will be evidenced by the references made to the statutes, auditing standards, books, journal articles and inclusion of a bibliography.
Note:
1. All written work must conform with the Federation University General Guide for the Presentation of Academic Work.
2. For all written work students must ensure that they submit their own original work. Any act of plagiarism will be severely penalised.
Plagiarism is presenting someone else work as your own and is a serious offence with serious consequences. As set out in the University Regulation 6.1.1, students who are caught plagiarising will, for a first offence, be given a zero mark for that task. A second offence will result in a failing grade for the course(s) involved and any subsequent offence will be referred to the Student Discipline Committee. Student must be aware of the University Regulation 6.1.1 Student Plagiarism. Students must:
• fully reference the source(s) of all material, even if you have re-expressed the ideas, facts or descriptions;
• acknowledge all direct quotations; and
• not submit work that has been researched and written by another person.
Question 1 .
Are the ethics of business a concern for the auditing function?

Question 2 .
Discuss the ethical requirements relating to the audit of a financial report as detailed within the current set of auditing standards.
Question 3 .
Define Audit quality and detail steps on how increasing audit quality can address the audit expectation gap
Question 4 .
Management has responsibility for preparing the financial statements albeit part of the auditor’s role is to ensure that they comply with generally acceptable accounting principles (GAAP). In light of the following pictures discuss GAAP and how these principles can and are audited.