Auditing & Assurance Team Assignment
Assessment Description -
Learning Outcomes:
- Explain and apply the different phases of the audit to practical scenarios.
- Identify and evaluate the different audit opinions that could be expressed following the completion of an audit as they apply to different audit scenarios.
Team - Case Study:
Students are required to form audit teams of 3 students (please get your lecturer's prior approval to change the team size) and complete the questions noted in the assignment details section on the next page. A copy of the minutes of team meetings must be attached to the group assignment and submitted electronically as noted above.
The team will also carry out a peer review for team work and award each member of the team a mark (include justification) which will be added to the lecturer's assessment of the team to arrive at a mark for teamwork. This assignment must be your teams own work and all members of the team will be awarded the same team mark. Any work which has been copied or shared between teams or groups will result in a Fail grade for all students concerned. Your team's work must not be copied directly from any source; any work copied will result in a mark of zero.
Team Meetings -
The team should have a minimum of three meetings (the team may have as many meetings as they need to) and should maintain minutes of those meetings which should be included with the hard copy of your assignment as an attachment. Minutes should include -
1) Where and when the meeting was held
2) People present; absent; apologies
3) What was discussed and agreed on;
4) The follow up action relating to each member of the team;
5) Any other relevant matter, things you agreed or disagreed on etc.
Each member will need to complete a peer review sheet (attached) for the other team members. An average of the mark awarded will be taken into the peer review marks for each person and will form the mark for your team work. Please note that you need to give a reason for the mark you have given your team members or you will lose half your team marks.
The assignment should be treated as a team effort and not different questions being done by team members - all members are responsible for all questions in the assignment and marks will not be pro-rated for questions in any way.
DETAILS OF ASSIGNMENT:
Review the audited annual reports including financial statements presented to the shareholders in respect of the company noted below and answer the questions.
Woolworths Group - 30 June 2016
Questions to be answered by the team or group:
Assume that your audit team is responsible for planning the audit for the Woolworths Group for the year ended 30 June 2016. Discuss your strategies in relation to the questions noted below -
1(A) Identify at least three (3) inherent risks that you would have considered for the company in the audit planning phase and justify your answer.
(B) What audit procedures and/or tasks would you have planned to carry out in response to the inherent risks identified by you in (A) above?
2 (A) Carry out an analytical review on the financial statements of this company in the planning phase and identify areas of concern (high risk or problem areas) or comfort. Identify at least three (3) points for the company and justify your answer.
(B) What audit procedures and/or tasks would you have planned to carry out in response to the high risks or problem areas identified by you in (A) above? Alternatively, in relation to which area would you have minimised your evidence gathering procedure?
3. An Independent Auditor's Report to the Members has been issued for the company:
(A) Identify the type of audit opinion issued by the auditor, and justify your answer.
(B) Do you agree with the type of opinion issued by the auditor? Why or why not? Please indicate an alternative audit opinion if you do not agree with the one issued.
(C) Does the audit report conform to the different criteria according to the auditing standards?
(D) Are there any other matters or events that have taken place after the issue of the audit report that strengthens or weakens the auditor's opinion?
4. In relation to corporate governance research and justify your answer to the following questions-
(A) Does the above company have any process relating to corporate governance? Under which section of the annual report would you expect to find information on it?
(B) Does the company have an audit committee and does the audit committee have the correct composition?
(C) In your team's opinion, are audit committees of benefit to the auditor, the company, the auditing profession and/or society as a whole? Why or why not?
REQUIRED:
You are required to work as an audit team intending to present your findings to the Audit Manager:
1) Hand in a written version (one for the team) of your assignment - see instructions attached on Team Cover Sheet.
2) Assess the contribution of each member in your team - scoring each one out of a maximum of 5 marks. Complete the peer review forms (one for each team member) and submit it with the written assignment.
In Summary submit one assignment for the group. It should contain -
1) The group's written response to the questions above;
2) A copy of the minutes of the group meetings
3) Peer review forms completed by each team member for all the other members.
Solution of only question 4 needed in 400 words.
Attachment:- Assignment Files.rar