To analyse, evaluate and conclude on the assurance engagement and other audit and assurance issues in the context of best practice and current developments.

DETAILED SYLLABUS

A. Regulatory Environment

• 1. International regulatory frameworks for audit and assurance services
• 2. Money laundering
• 3. Laws and regulations

B. Professional and Ethical Considerations

• 1. Code of Ethics for Professional Accountants
• 2. Fraud and error
• 3. Professional liability

C. Practice Management

• 1. Quality control
• 2. Advertising, publicity, obtaining professional work and fees
• 3. Tendering
• 4. Professional appointments

D. Assignments

• 1. The audit of historical financial information including;
• i) Planning, materiality and assessing the risk of misstatement
• ii) Evidence
• iii) Evaluation and review
• 2. Group audits
• 3. Audit-related services
• 4. Assurance services
• 5. Prospective financial information
• 6. Forensic audits
• 7. Internal audit
• 8. Outsourcing

E. Reporting

• 1. Auditor’s reports
• 2. Reports to management
• 3. Other reports

F. Current Issues and Developments

• 1. Professional, ethical and corporate governance
• 2. Information technology
• 3. Transnational audits
• 4. Social and environmental auditing
• 5. Other current issues

APPROACH TO EXAMINING THE SYLLABUS

The examination is a three hour paper constructed in two sections. Questions in both sections will be almost entirely discursive. However, candidates will be expected, for example, to be able to assess materiality and calculate relevant ratios where appropriate.

Section A questions will be based on ‘case study’ type questions. That is not to say that they will be particularly long, rather that they will provide a setting within a range of topics, issues and requirements can be addressed. Different types of question will be encountered in Section B and will tend to be more focussed on specific topics, for example ‘auditor’s reports’, ‘quality control’ and topics of ISAs which are not examinable in Paper F8, Audit and Assurance. (This does not preclude these topics from appearing in Section A). Current issues will be examined across a number of questions.

Section A: 2 compulsory questions 50-70 marks
Section B: Choice of 2 from 3 questions 30-50 marks 100