E-learning Course on Risk-based Approach on Financial Auditing(E-RBAFA) 4 Nov-14 Dec 2012
COURSE INTRODUCTION AND BACKGROUND
The Supreme Audit Institutions (SAIs) across the world conduct financial audits as part of their mandate. INTOSAI Standards for Supreme Audit Institutions (ISSAI) for financial audit requires the auditors to adopt a Risk-based Approach to Financial Audit (RBAFA) by conducting risk assessment of financial misstatements based on an assessment of entity and its environment including internal controls. This implies that the audit focuses on those aspects of entity’s processes which pose a maximum threat to the entity’s objectives not being met.
Increasingly, the SAIs around the world are adopting a risk-based approach in financial audits in order to minimize the risk of audit opinion going wrong.
The expanding role of public sector auditors requires that the audit techniques and methodology are continuously upgraded to ensure a high quality audit.
This course on RBAFA is a foundation level course, based on the relevant ISSAIs for financial audit, for the public sector auditors, financial auditors in particular, who are new to the concept of risk-based approach. The course is designed as a step by step guide for implementing the standards in conducting risk-based audit. The course is heavily practice oriented and makes use of a case study and several templates to provide hands- on practice to the participants.
The IDI is offering this E-course in cooperation with the United nations Institute for Training and Research (UNITAR)
At the end of the e- course, participants will be able to:
Understand the concept of RBAFA;
Understand how to perform the key activities of a risk-based approach including preliminary engagements activities, developing an overall audit strategy, performing risk assessment procedures and performing further audit procedures;
Understand basis of evaluation of misstatements in order to be able to discern when to give unmodified opinion, modified opinion, an adverse opinion or a disclaimer of an opinion;
Use appropriate financial audit procedures in line with ISSAIs on risk-based approach, in conducting future financial audits
Target Audience : E-RBAFA course is targeted at financial auditors who have 3-5 years of experience in public sector audit, especially audit of financial statements. This course will also be useful to other public sector auditors who would like to get familiar with risk-based approach to financial audit
The E-course will be offered in English.
• Greater awareness among the course participants , of the risk-based approach to financial audit and the relevant ISSAIs
• Acquisition of requisite skills for implementing a risk -based financial audit
The E-RBAFA course consists of 5 modules and each module has one or more topics. These are :
1. Module 1 - Introduction to the Risk-based Audit Approach to Financial Audit
This module provides an overview of the RBAFA process. In addition, it explains in detail the process of conducting preliminary engagement activities and developing an overall audit strategy.
2. Module 2 – Detailed Audit Plan (Part I)
This module provides a detailed guidance on understanding the entity and its environment, including its control environment, for developing a detailed audit plan.
3. Module 3 – Detailed Audit Plan (Part II)
This module provides further guidance on detailed audit planning by explaining how to identify and assess risks of material misstatements, using the auditor’s understanding of the entity, in order to be able to design further audit procedures.
4. Module 4 – Audit Execution
This module provides guidance of designing and implementing audit procedures for collecting evidence of material misstatements, including designing of analytical and substantive tests
5. Module 5 – Accumulation and Evaluation of Misstatements, forming audit opinion and reporting
This module deals provides guidance on how to accumulate and evaluate the misstatements detected during audit execution using materiality, in order to arrive at an appropriate audit opinion.
The module gives further guidance on how to write a standard audit report for different types of audit opinion.
Use of Templates
The e-RBAFA courseware introduces several templates as tools to assist the auditor in implementing each stage of risk-based audit. These templates are in the nature of checklists for completing the required steps of audit process, as prescribed under the ISSAIs.
During the course, the participants will be provided with a case study, which will be used by them to complete the templates.
This is intended to provide hands-on practice to the participants
Besides the core text for each module you will also
have additional resource material (further reading materials) which would include
• Website links
• Related articles
Participants will have the opportunity to interact and work with a panel of online mentors and fellow participants by using the E-learning platform’s discussion forum , group email facility, and the group activities platform.
The participants will have to complete one mandatory exercise at the end of each module attaining 80 % score, and , participate in discussion forum by making at least 5 meaningful contributions during the duration of the course run, to be eligible for the IDI-UNITAR Certificate of Completion
Eligibility and Participation
Invitation letters have been sent out to the Supreme Audit Institutions in the five English speaking regions of INTOSAI, namely, AFROSAI-E, ASOSAI, CAROSAI, EUROSAI and PASAI.
Each SAI is invited to nominate 3-4 participants, who will be selected on the basis of selection criteria. Approximately 100 participants will be registered for the E-Course. In case of over subscription, preference will be given to participants from OECD supported countries.
The last date for receiving nominations at the IDI is October 24, 2012
Online registration for selected participants will be available at the IDI’s website www.idi.no
Dates for registration will be announced in the due course.
The E-Course will be run using the UNITAR E-Learning Platform.
Course run: 04 November-14 December 2012