INTERNATIONAL Senate endorsement ref.

:
ISLAMIC UNIVERSITY Senate endorsement date:
MALAYSIA Version no:
Version effective date:

COURSE OUTLINE
1. Course Title: Auditing Assurance Services

2. Course Code: ACC 4031

3. Credit Value: 3

4. MQF Level: 6

5. Affected Batch: Students with matric number starting with 071 onwards.

6. Centre of Studies: Kulliyyah of Economics and Management Sciences

7. Department/Unit: Accounting

8. Course Synopsis:

This course deals with advance topics in auditing. It aims to enable the students to
understand the nature and objectives of audit in general as well as audit procedures and
techniques practice today. It would assist the students to identify and assess the audit
risks involved in various situations, specifically on auditing the system based business
process.

Students are expected to apply their knowledge of the subject matters covered in this
course as well as related courses like Financial, Cost and Management Accounting,
Accounting Information System and Company Law.

Students are also expected to have thorough knowledge of auditing and accounting
standards, guidelines and technical releases pronounced by all accounting professional
bodies in Malaysia as well as MASB/FRS, Bursa Malaysia Listing Requirements and
Securities Commission Guidelines.

9. Course Classification within the Curriculum: Core Course

10. Prerequisite(s) (if any):

ACC 3531 Audit Fundamentals

INFO 3010 Management Information System

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11. Course Learning Outcomes

Blooms Programme
Taxonomy Soft skills
No. Outcomes Outcomes
(KI)
C A P (PO)
1. Evaluate the professional conduct C5 A5 P3 EM, LL 4,8
and ethics of an auditor.

2. Explain the auditors liability. C3 A2 P4 CT 5,6

3. Explain the significance of C3 A2 P2 CT 7

clients IT and its implications on
business activities and audit
process, role of CAATS in audit
work, the nature of internal audit
and how internal audit can be
used to evaluate performance.

4. Evaluate audit findings, review C4 A2 P2 CT 1,2,4,5,6,9

subsequent events, contingencies
and commitments at the
completion stage, and evaluate
the nature, timing and extent of
the group audit procedures.

5. Explain and distinguish between C2 A2 P1 CT 1,2,5

audit and audit related services
other than financial statement
audit such as audit of prospectus,
due diligence review, review
services and compilation.

6. Discuss the current issues facing C3 A2 P1 CT 1,2,3

the auditing profession.

12. LO - Instruction Method - Assessment Alignment:

Outcomes Teaching-Learning Methods Assessment Methods
LO1 Lecture & Field work Mid term
LO2 Lecture & problem based learning Group & class exercises
LO3 Lecture Mid term
LO4 Lecture & problem based learning Final examination
LO5 Lecture & problem based learning Group & class exercises
LO6 Lecture Final examination

13. Assessment Methods Weightage:

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Methods Percentage
Group projects 25
Group & Class exercises 15
Mid-term examination 10
Final examination 50
TOTAL 100

14. Student Learning Time:

1. Instruction Component Total Allocated Hours
1.1. Teacher-oriented methods
Lecture 30
1.2. Student-oriented methods
Problem-based learning 10
Assessments 2
Total Instructor Contact Hours: 42
2. Independent Learning Component Total Estimated Hours
2.1. Reading and revision
Learning hours to prescribed topics 42
2.2. Estimated hours for preparation toward assessments
Group projects 18
Mid-term examination & Group Exercises 8
Final examination 10
3. Assessment Outside Instruction Hours Total Allocated Hours
Final examination 3

TOTAL SLT 123

15. Course Contents and Related SLT:

Face to Self-
Tasks/
Week Topics Face Learning
Reading
Hours Hours
1. Auditing : Integral to the
Economy
Introduction to the public
accounting profession
Audit standard setting ISA 700
1 3 3
Overview of audit process and ISA 701
audit opinion
Audit quality and financial
reporting quality

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 2. Corporate Governance and
Audits
Importance of good governance to MCCG 2012
the audit Bursa
Malaysia Code of Corporate Malaysia
2-3 6 6
Governance Listing
Audit Committee Requirements
Bursa Malaysia Listing CH 15 2013
Requirements

3. Internal auditing
Roles and scope of internal audit
Nature and extent of internal audit
assignment assurance and New IPPF
consulting services
4 3 3
Value added internal auditing GE 1:
Relationship between external Topic 1-2
and internal audit
Issues in internal audit

4. Professional Standards and other

Decision Making Frameworks
General and ethical decision MIA By-
5 making 3 3 Laws
MIA By-Laws ISQC 1
Sarbanes Oxley Act 2002

5. Professional Liability
Legal environment in auditing
Liability to clients and to 3rd
parties
6 3 3
Common law and statutory law.
Audit Quality through review,
QC.

SEMESTER BREAK 16-20 OCTOBER 2017

6. Auditing and Information
Technology (IT)
Effect of IT on Accounting
Systems and related internal
CE 1:
7 controls 3 3
Topic 4-5
Impact of IT on Audit Objectives
and Audit Process
Auditing in IT environment

STUDENTS CONFERENCE ON AUDIT 27 OCTOBER 2017

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 7. Group Audit
Group, its component and
environment
ISA 600
8 Principal and component auditor 3 3
(Revised)
Audit process in group audit
Issues in group audit

MID TERM TEST 17 NOVEMBER 2017

8. Auditing for Fraud
Overview of fraud
Scope of auditors responsibilities
on fraud
Nature of fraud and societys
9-10 6 6
expectation
Forensic accounting, fraudulent
financial reporting
Assessing fraud risks

9. Post Balance Sheet and

Completing the Audit ISA 540
Adjustments & Client ISA 550
continuance decision ISA 560
11 Reviewing contingencies, 3 3 ISA 570
estimates & subsequent events
Management representation CE 2:
Going Concern issues Topic 8

10. Assurance and Non-Assurance

related services
ISA 800
Profit forecast, due diligence,
ISRE 2400
12 prospectus 3 3
ISAE 3400
Special purpose audit
ISRS 4410
Forensic auditing/accounting

11. Contemporary Issues

Shariah Auditing
Sustainability & Integrated GE 2:
13 3 3
Reporting Topic 9
Other current issues

14 PRESENTATION & REVISION 3 3

TOTAL 42 42

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 16. References:

16.1. Required
1. Eilifsen, A., Messier, W.F., Glover, S.M., and Prawitt, D.F. (2016) Auditing &
Assurance Services in Malaysia. 3rd Edition. London. McGraw Hill.

16.2. Recommended
2. Gul, F. and Mahzan, M. (2013) Auditing: Theory and Practice in Malaysia, CCH
Asia Pte Limited.
3. Arens, A.A., Elder, R.J., Beasley, M.S. & Hogan, C.E. (2016) Auditing and
Assurance Services An integrated approach. 16th Edition. United States. Pearson.
4. International Standards of Auditing (ISAs)
5. International Financial Reporting Standard (IFRS) and Companies Act 1965.

Prepared by: Checked by: Approved by:

Signature: Signature: Signature:

Dr Sherliza Puat Nelson Assoc Prof Dr Muslim Har Sani Prof Dr Maliah Sulaiman
Department of Accounting Mohamad Dean, KENMS
11 September 2017 Head, Department of Accounting 11 September 2017
11 September 2017

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 ANNEX

I. Course Instructor Details

Semester: 1 Academic Year: 2017/2018
No. Name Email Department
1 Dr Sherliza Puat Nelson sherliza@iium.edu.my Accounting, KENMS
2 Dr Ahmad Zamri Osman azamrio@iium.edu.my Accounting, KENMS

II. Programme Learning Outcomes

At the end of the programme, students are expected to be able to:
No. Outcomes Outcome Domain
1 Identify, classify, record, summarize and report economic events which affect organizations. Define and Knowledge
explain basic concepts in financial and managerial accounting as well as taxation and audit, whilst
incorporating the Islamic perspective where relevant.
2 Prepare financial statements in accordance with nationally and internationally accepted financial reporting Psychomotor / Practical
standards for organizations and groups of organizations. Perform simple and complex audits, and prepare Technical Skills
tax returns and advise on tax matters in compliance with regulation and standards.
3 Provide services to the community based on learned knowledge, and cooperate with different stakeholders Social Skills and
for the benefit of the society (ummah). Responsibility
4 Behave in accordance with professional ethics and Islamic values. Values, Attitudes and
Professionalism
5 Communicate effectively with various stakeholders. Also, communicate and work collaboratively in a Communication
management team, as well as demonstrate leadership qualities.
6 Process and evaluate financial data and non-financial information, as well as suggest solutions to Problem Solving and
accounting issues taking into consideration professional ethics and Islamic values. Scientific Approach
7 Demonstrate an ability to learn continuously and develop professionally in tandem with the changes in the Information Management
business world. Also, use, evaluate and manage information technologies and systems for the efficient and Life-long Learning
attainment of organizational objectives.
8 Analyse financial and non-financial information to make optimal managerial decisions, which are ethical, Managerial and
at the operational, tactical and strategic levels. Entrepreneurial Skills
9 Work collaboratively in a management team as well as demonstrate leadership qualities. Leadership and Team Skills

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