ACCT 4231: Assurance
Students will learn how to gather and evaluate audit evidence relating to a company’s financial statements. The goal is to provide assurance that the financial statements fairly present the financial performance and position of the organization being audited. Risk assessment techniques available to auditors and possible responses to those risks will be examined. Topics include an introduction to auditing and the public accounting profession; the audit process; professional relationships and legal liability; materiality and risk assessment; audit evidence, evidence mix and audit strategy; internal controls, control risk and corporate governance; audit sampling; application of the audit process; completion of the audit and reporting and offering other services.
Learning outcomes
- Discuss the role of financial statement auditing and regulatory framework for auditing in Canada.
- Describe the audit report and the possible qualifications.
- Identify the stages of the audit process and the major activities at each stage.
- Assess how the Code of Professional Conduct, ethics, and legal liability affect the audit function.
- Explain how materiality and various risk assessments impact the audit program.
- Determine the audit procedures to test internal controls.
- Utilize audit sampling techniques to select sample sizes and items.
- Apply audit activities to cash balances and the sales and collections, human resources and payroll, acquisition and payment, inventory and distribution, and the capital acquisition and repayment cycles.
- Describe other assurance and non-assurance engagements.
Course topics
- Module 1: Auditing and Assurance Engagements, the Public Accounting Profession, and Audit Quality
- Module 2: Professional Ethics and Legal Liability
- Module 3: Responsibilities in the Financial Statement Audit, Audit Evidence, and the Technology-Driven Audit
- Module 4: Client Acceptance, Preliminary Planning, Materiality, Risk Assessment, and Inherent Risk
- Module 5: Understanding the Internal Control System and Control Risk Assessment
- Module 6: Risk Response—Putting It All Together, and Audit Sampling Concepts
- Module 7: Audit of the Revenue Cycle
- Module 8: Audit of the Acquisition and Payment Cycle
- Module 9: Audit of the Inventory and Distribution Cycle, and the Human Resources and Payroll Cycle
- Module 10: Audit of the Capital Acquisition and Repayment Cycle and Audit of Cash and Cash Equivalents
- Module 11: Completing the Audit and Audit Reports on Financial Statements
- Module 12: Other Audits, Assurance Engagements, and Related Services
Required text and materials
Students require the following e-textbook. An access card/code for this e-text can be purchased directly from the TRU bookstore site at https://thebookstore.tru.ca/site_digital.asp. Instructions on how to use the access code are provided in the course after registration.
- Arens, A., Elder, R. J., Beasley, M. S., Hogan, C. E., Jones, J. C., & Amerski, B. A. (2025). MyLab Accounting – Standalone Access Card – for Auditing: The Art and Science of Assurance Engagements (16th Canadian ed.). Pearson Canada Inc.
Type: Access Card. ISBN: 9780137954452
Assessments
Please be aware that should your course have a final exam, you are responsible for the fee to the online proctoring service, ProctorU, or to the in-person approved Testing Centre. Please contact exams@tru.ca with any questions about this.
To successfully complete this course, students must achieve a passing grade of 50% or higher on the overall course, and 50% or higher on the final mandatory exam.
| Assignment 1: Modules 1 – 3: Questions and Cases | 12.5% |
| Assignment 2: Modules 4 – 6: Questions and Cases | 12.5% |
| Assignment 3: Modules 7 – 9: Questions and Cases | 12.5% |
| Assignment 4: Modules 10 – 12: Questions and Cases | 12.5% |
| Mandatory Final Exam | 50% |
| Total | 100% |
Open Learning Faculty Member Information
An Open Learning Faculty Member is available to assist students. Students will receive the necessary contact information at the start of the course.
