The latest developments affecting audit engagements are addressed in this course.
Part of planning an audit involves consideration of the business and economic environment in which the client operates. Thus, auditors need to be aware of the various types of fraud that clients and employees may be committing, especially in light of the recent myriad of lawsuits against auditors and accountants.
In addition to applying techniques to limit their liability to their clients and third parties, auditors are confronting other major problems facing the accounting field, including compliance with the Sarbanes-Oxley Act. The Peer Review Comments and new auditing statements provide further guidance on current issues.
To deal with the volatility in the business climate, auditors should focus their efforts in key areas and should take lessons from litigation. Additionally, in this course, auditors will learn how to perform more efficient engagements, assess going concern, advise clients on insurance, audit lease agreements, and much, much more.
- Identify the factors that an auditor may consider in assessing overall business risks
- Explain specific account risks that are important to the auditor
- Explain the types of fraud and the three conditions in the fraud triangle
- Discuss the primary types of fraudulent cash receipts and cash disbursements
- List the symptoms of a high- and low-fraud environment &specific signs of fraud
- Understand the audit requirements that deal with fraud that are found in SAS 99
- Discuss Chamber of Commerce recommendations to save the audit profession
- Explain the recommendations made by the Big Four report on how to change to global financial reporting and public company audit procedures
- List the AICPA's top 10 technology issues affecting auditors.
- Identify the problems growing with Sarbanes including the significant costs, proposed changes, and its specific impact on small businesses.
- List the key deficiencies found in peer review
- Discuss the requirements of newly issued SAS No. 102 to 116
- Identify focus areas dealing with volatility in the business climate
- Compute the four working capital ratios on which an auditor should focus
- List the common pitfalls that continue to expose accountants to loss in litigation
- Identify the top ten actions to minimize the risk of being sued
- Apply suggestions on how a firm can reduce time and increase audit efficiency
- List factors that raise doubt about an entity's ability to continue as a going concern
- Understand provisions in a commercial lease that should be eliminated from the tenant's perspective
- Discuss the auditors' responsibility for subsequent events;
- List the requirements that should be followed in a reaudit engagement
- Explain the two types of subsequent events
- Apply to requirements of SAS No. 84 in changing auditors
- Understand the public's perception of accountants and auditors
Your printed manual should arrive in the mail to you within 3-5 business days, unless you choose to upgrade to overnight shipping. The cutoff time for overnight orders is 12 noon.
After you have completed reviewing the text material, you may take your exam in our convenient, untimed online format. Tests average 5 questions for each CPE credit offered. For example, a CPE test worth 20 credits would include about 100 questions.
A score of 70% or better is required to pass this course, although there is no limit to the number of times you may take the exam in order to pass.
When you successfully pass the exam, your Certificate of Completion will be displayed on the screen. Print it out on your printer by using the "Print" command in your web browser.
This course is accepted in all but the following states for CPE credit: FL, MN, MS, OR, SC, &TN.
Course Level: Basic
Field of Study: Auditing
About The Author
Steven C. Fustolo is a partner with the Boston CPA firm of James J. Fox &Company and Director of the National Tax Institute, Inc. He is a frequent lecturer and author of numerous tax and accounting issues affecting closely held businesses.
An AICPA author, Mr. Fustolo's articles are regularly featured in The Practical Accountant and other publications.