MKF_AUDI Auditing

Faculty of Economics and Administration
Autumn 2024
Extent and Intensity
0/0/0. 5 credit(s). Type of Completion: zk (examination).
In-person direct teaching
Teacher(s)
prof. Ing. Eva Horvátová, CSc. (lecturer)
Ing. Radim Procházka (lecturer)
Ing. Radim Procházka (seminar tutor)
Guaranteed by
prof. Ing. Eva Horvátová, CSc.
Department of Finance – Faculty of Economics and Administration
Contact Person: Iva Havlíčková
Supplier department: Department of Finance – Faculty of Economics and Administration
Timetable
Sat 2. 11. 8:00–11:50 S313, Sat 16. 11. 12:00–15:50 S313, Sat 14. 12. 12:00–15:50 S313
Prerequisites
BKF_FIU1 Financial Accounting 1 && BKF_FIU2 Financial Accounting 2
The course "Auditing" follows previous courses related to accounting. (Financial Accounting I and II).
Course Enrolment Limitations
The course is only offered to the students of the study fields the course is directly associated with.
fields of study / plans the course is directly associated with
Course objectives
The Auditing course aims to familiarize students with the principles and key aspects of statutory auditing of financial statements, while the emphasis will be on understanding the auditing process and providing a brief overview of international auditing standards. The first part of the course will focus on the importance of statutory auditing in today's context, regulation in Czechia, and the auditor's code of ethics. The second part refers to the overall audit process from the client to the audit evaluation and the prepared auditor's report.

Graduates will be able to grasp and critically evaluate the client approval process, risk assessment, audit planning, internal control evaluation, obtaining audit evidence, audit evaluation, and audit report writing. The student will be able to critically choose appropriate methods for obtaining audit evidence needed for an adequate auditor's statement.
Learning outcomes
The course is designed to help students understand the importance of an external financial statement audit in today's environment, why it is helpful to users of financial statements, and the current audit processes used to form an opinion on an entity's financial statements. After completing the course, students should be able to:

a) explain the meaning of the statutory audit, its goals, and the responsibility of the auditor and a company's Governance;
b) acquires knowledge of the importance of auditors' professional ethics and the legal regulation of auditing in the Czechia (including international auditing standards);
c) understand and critically evaluate the process and phases of the audit, incl. choosing the proper methods of obtaining audit evidence for risk assessment and detection of material misstatement;
d) understand an auditor's report and its different types.
Syllabus
  • 1. Introduction to statutory audit - meaning, principles, objectives and regulation.
  • 2 The role of Governance, internal control and internal audit.
  • 3. Code of Ethics.
  • 4. Assertions on financial statements, assessing risks of financial statement misstatement and performing preliminary analytical procedures.
  • 5. Introduction to audit evidence and audit planning.
  • 6. Internal control and tests of internal control.
  • 7. Substantive tests, sampling and evidence gathering techniques.
  • 8. Testing of fixed assets, inventory and accounts receivable
  • 9. Testing of equity and external resources.
  • 10. Audit review and finalization.
  • 11. Auditor's report.
Literature
    required literature
  • ACCA : Audit and assurance (AA) : workbook : applied skills. Fourth edition. London: BPP, 2023, xxii, 452. ISBN 9781035500420. info
  • MÜLLEROVÁ, Libuše and Vladimír KRÁLÍČEK. Auditing pro manažery, aneb, Jak porozumět ověřování účetní závěrky statutárním auditorem. 4. vydání. Praha: Wolters Kluwer, 2020, 223 stran. ISBN 9788075989079. URL info
    recommended literature
  • DENNIS, IAN. Auditing Theory; Vydavatel: Taylor & Francis Ltd, Abingdon. 158 stran;. 2018. ISBN 978-1-138-59970-3. info
  • HAYES, Rick Stephan, J. C. A. GORTEMAKER and Philip WALLAGE. Principles of auditing : an introduction to international standards on auditing. 3rd ed. Harlow, England: Prentice-Hall, 2014, xxi, 714. ISBN 9780273768173. info
Teaching methods
Seminars, discussions, case studies, self-study of assigned literature.
Assessment methods
A written exam completes the subject. To complete the course, you must get at least 60% of the points in the written test.

Before passing an exam test, it is required to fulfill:
Successful completion of at least 10 questionnaires

Grading scale: 100 – 92 % = A, 91 – 84 % = B, 83 – 76 % = C, 75 – 68 % = D, 67 – 60 % = E, less than 60 % = F.

Warning: Any copying, recording or leaking tests, use of unauthorized tools, aids and communication devices, or other disruptions of objectivity of exams (credit tests) will be considered non-compliance with the conditions for course completion as well as a severe violation of the study rules. Consequently, the teacher will finish the exam (credit test) by awarding grade "F" in the Information System, and the Dean will initiate disciplinary proceedings that may result in study termination.

If you have any questions related to the course and its completion, write to radim.prochazka@mail.muni.cz
Language of instruction
Czech
Follow-Up Courses
Study support
https://is.muni.cz/auth/el/econ/podzim2024/MKF_AUDI/index.qwarp
Further comments (probably available only in Czech)
Study Materials
The course is taught annually.
Credit evaluation note: k = 1.
The course is also listed under the following terms Spring 2010, Spring 2011, Spring 2012, Spring 2013, Spring 2014, Spring 2015, Autumn 2015, Autumn 2016, Autumn 2017, Autumn 2018, Autumn 2019, Autumn 2020, Autumn 2021, Autumn 2023.
  • Enrolment Statistics (recent)
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