Audit Practice And Procedures II Lecture Notes PDF

AUDIT PRACTICE AND PROCEDURES II Audit Reports and Ethics  Audit Reports  The report is occurs at the end of the process.  Reports are essential as they communicate information to their users.  The opinion that an auditor gives is reflected in the name and essentially th...

AUDIT PRACTICE AND PROCEDURES II Audit Reports and Ethics  Audit Reports  The report is occurs at the end of the process.  Reports are essential as they communicate information to their users.  The opinion that an auditor gives is reflected in the name and essentially the type of the report issued. Types of Audit Reports  The following are types of reports that are issued by external auditors:  1. Standard Unqualified Audit Report  2. Unqualified Report with Explanatory Paragraph or Modified Wording  3. Qualified Audit Report  4. Adverse or Disclaimer Audit Report Internal Audit Reports An Internal audit report is basically a four step process comprising of:  What is wrong?  Why is it wrong?  How to correct it?  What will be done? Internal Audit Reports An Internal audit report should have the following features:  Oral Reports  Interim (Informal) Reports  Descriptive Reports Internal Audit Reports  Formal Internal Report Structure  Cover  Executive Summary  Key findings and recommendations  Detailed findings and agreed action  Assessment grading or ratings  Ethics If were to look at simply, what is ethics? Right away “moral principles or values should come to mind” and with this comes a plethora of questions, including; “What is right? What is wrong? Right for whom? Wrong for whom? What about cultural beliefs and values?  Ethics These are some of the questions that you and others might ask when it comes to dealing with the area of ethics. It stands to reason then, in order to bring some sort of “order” as type of governance must be in place.  The Code of Professional Conduct – The AICPA that has established a “Code of Professional Conduct”. This code provides not only the specific enforceable rules of conduct but also general standards of ideal conduct. The code entails four (4) sections: 1. Principles 2. Rules of conduct 3. Interpretations of the rules of conduct 4. Ethical rulings  REFERENCES  Icpak.com. (2020). [online] Available at: https://www.icpak.com/wp-content/uploads/2015/09/Internal- Audit-_-Report-Writing.pdf.pdf [Accessed 29 Jan. 2020].  Acowtancy.com. (2020). ACCA AA (F8) Notes: C6e. Internal Audit Reports | aCOWtancy Textbook. [online] Available at: https://www.acowtancy.com/textbook/acca-aa/c6-scope-of-internal-audit/ internal-audit-reports/notes [Accessed 29 Jan. 2020].  Arens, Elder, Beasley: Auditing and Assurance Services, an Integrated Approach, 12th to 15th Edition:  Pearson: Prentice Hall.  Kerr, Elder, Arens: Integrated Audit Practice Case: 6 th Edition: Armond Dalton Publishers, Inc  http://www.investopedia.com/  http://images.forbes.com/  http://www.businessdictionary.com/  http://www.cnn.com/  www.accountingtools.com