Module Information

Module Identifier
Module Title
The Role and Practice of Auditing
Academic Year
Semester 2 (Taught over 2 semesters)
Reading List
Other Staff

Course Delivery



Assessment Type Assessment length / details Proportion
Semester Assessment Essay, case study or report  (2,000 words)  40%
Semester Exam 3 Hours   Exam  60%
Supplementary Assessment Supplementary assessment  (Students must take elements of assessment equivalent to those that led to failure of the module.)  40%
Supplementary Exam 3 Hours   Supplementary Exam  (Students must take elements of assessment equivalent to those that led to failure of the module.)  60%

Learning Outcomes

On successful completion of this module students should be able to:

1. Describe the development and theoretical basis of modern auditing and assurance with reference to both private and public sectors.

2. Explain the evolving legal, regulatory, professional and social contexts of auditing, and the responsibilities these place on auditors; and examine the interaction between external audit and systems of governance, internal control and internal audit.

3. Explain the audit process and the concepts and methodologies that it embodies.

4. Demonstrate knowledge and understanding of practices providing audit evidence and supporting the expression of an audit opinion; and identify contemporary developments and issues in the practice and regulation of audit.

5. Explain how the conclusions from audit work are reflected in different types of audit report, explaining the elements of each type of report.

Brief description

This module examines the role and practice of audit in both private and public sectors, in the context of modes of regulation and the dominant corporate governance framework. It provides an overview of audit practice, relevant to those interested in a career in auditing or accounting, while the contemporary issues it addresses are of interest to a wider spectrum of professionals and others using audited information.




• The nature of audit and other assurance engagements
• Statutory and public sector audits
• The audit regulatory environment, including auditing standards and corporate governance
• Auditing Practices Board (APB) ethical standards for auditors
• Other codes of ethics and conduct (e.g., ACCA’s code)

• Internal audit and corporate governance
• The interface between the external auditor and the internal auditor
• The internal audit function and its limitations
• Outsourcing the internal audit function
• Other internal audit assignments (VFM, IT audits, etc.)

• Scope and general principles
• Assessing the risks of material misstatement
• Understanding the entity and its environment
• Materiality, fraud, laws and regulations
• Performing analytical procedures
• Audit planning and documentation

• Understanding the internal control system
• Auditor’s reliance on the internal control system
• Transaction cycles and tests of controls
• The components of internal control environment
• Evaluation of the internal control system
• Internal control report

• Understanding and use of assertions by auditors
• Performing audit procedures
• Substantive procedures on specific items of FS
• Transactional testing using audit sampling techniques
• Computer Assisted audit techniques
• The work of experts in audit

• Types of audit reports
• Management reports/ or letters of weakness
• Other audit reports i.e. internal audit reports

Module Skills

Skills Type Skills details
Application of Number Evaluation of numerical problems in lecture examples and appropriate examination questions.
Communication Applied in seminar class discussion.
Improving own Learning and Performance In preparation for, attending and participating and reflecting on seminar classes. Preparing and producing an assignment and preparing for assessment in examination.
Information Technology Appropriate accessing of electronic and internet materials and use of word-processing skills in assignment.
Personal Development and Career planning Preparation for seminar tasks will encourage initiative, independence and self-awareness.
Problem solving Scenario-based problems treated in lectures and applied in seminars, assignment and examination.
Research skills Obtaining, selecting, assimilating information from research literature, professional and regulatory sources for use in seminars, assignment preparation and examination.
Subject Specific Skills Skills relevant to the practice of a regulated profession specifically interpretation of international auditing standards and practice notes (as applicable to the UK and Ireland), and UK Ethical Standards. Studying auditing engenders a focus on evidence and the meaning of professionalism, ethics and independence that is relevant to other professional settings.
Team work Group work in preparation for and during seminars.


This module is at CQFW Level 5