Auditing

Paper Code: 
FA-332
Credits: 
6
Contact Hours: 
90.00
Max. Marks: 
100.00
Objective: 

The Objective of this course is to gain knowledge of auditing procedures and techniques and their application

18.00
Unit I: 

Introduction- Definition, Nature, Scope, Objectives, Principles and Techniques of Auditing, Errors and Frauds in Accounting and the role of the Auditor in Detection and Prevention of the same, Advantage and Limitation of Auditing, Relation between accounting and auditing,
Different types of Audit- Internal, Statutory and Non Statutory, Periodical, Continuous, Interim and Balance Sheet Audit
Audit Process-Preparation before Commencement of a New Audit- Audit Memorandum, Audit Programme, Audit Working Papers (Ownership and Lien), Audit Evidence (Sources, Reliability and Methods),Audit File and Audit Note Book, Test Checking , Cut Off Checking and Auditing in Depth
 

18.00
Unit II: 

Internal Control and Internal Check System- Meaning, Objectives and Elements of Internal Control System, Questionnaire in relation to payment of Wages, Sales Purchase of Raw Materials and Stores-Relation between Internal Control and Internal Check. Auditor’s role regarding Internal Control and Internal Check, Application of concepts of Materiality and Audit Risk.

18.00
Unit III: 

Audit Procedure-Meaning, Objective and Importance of Vouching, Vouching and Routing Checking, General Principle of Vouching, Vouching of different item of transactions,

Verification and Valuation of Assets and Liabilities With special reference to Plant & Machinery, Building, Goodwill, Patent, Copy Right, Investment, Debtors, Inventories, Share Capital and Loans, Contingent Liabilities and Contingent Assets and Auditor’s Role

18.00
Unit IV: 

Audit of Sole Proprietorship and Partnership concerns, Educational Institutions, Cinemas, Clubs and Hospitals

Audit of Joint Stock Companies

Audit of share capital debentures and managerial remuneration Qualification, Disqualification, Appointment, Remuneration and Removal of Auditors, Status, Rights, Duties, and Liabilities of Auditors Divisible profits including audit of reserve and provisions, reports and audit certificate.

18.00
Unit V: 

Investigation : Meaning, objectives, Procedures, investigation on behalf of purchaser of business, banker, investor

Cost Audit: Meaning, nature, objectives, scope and types of cost audit.

Study of the following cases: London and General and bank case, Kingston, cotton mills case, commissioner of Income Tax V/s G.M.Dandeker , Council of Institute of chartered accountant of India V/s B.K.Sen, Mckesson & Robbins case

References: 
  1. Students Guide to Auditing: Aruna Jha(Taxmann)
  2. Auditing: Jain, Khandelwal, Pareek(Ramesh Book Depot)
  3. Auditing: Jain, Khandelwal(Shivam Publisher)
  4. Auditing Theory & Practice: A.K Singh ( Galgotia Publishing Company New Delhi)
  5. Contemporary Auditing: Kamal Gupta(Tata Mc-Graw Hill)
  6. Auditing: Principle and Practice, S.D Sharma(Taxmann)
  7. Auditing Principles and Problems: T.R Sharma (Sahitya Bhawan Agra)
  8. Practical Auditing: Spicer& Pegler
  9. Fundamental of Auditing: Gupta & Arora(Tata Mc Graw Hill)

 
 

Academic Year: 
2018-2019
  • Printer-friendly version
  • PDF version