North-West University (NWU)

Nature and purpose of the inventory and production cycle, inlduing all the functions within. Each function contains documents used, function, risk, control objective and manual controls. Functions include: - Warehouse - Physical controls - Comparisons and reconciliations - Planning and preperation - Design of stationary - Written instructions - Conducting the count

Explanation of processing/application controls and description of control objectives. Process for batches by using preparations, input, processing and output, while including validity, completeness and accuracy. Changes in the Masterfile - main control and manual controls.

The Companies Act No. 71 of 2008 in Auditing. Contains summaries of sections within the Companies Act relevant to auditing 3rd year. Includes: 1. General - Sections 2,3,4,214,16 2. Company records - Sections 20, 21, 22, 24, 30. 3. Shares - 35, 36, 37, 38, 39, 40, 41 4. Assistance and Distribution - 44, 45, 46, 47, 48 5. Board - 57, 65, 66, 69, 71, 72, 73, 75 6. Auditors - 90, 91, 92, 94 This includes short summaries of everything to know about the sections. Examples such as how to...

Explanation of overall risk within the payroll and personnel cycle and the relevant assertions relating to salaries and wages as well as fraudulent financial reporting and misappropriations of assets. Test of controls audit procedures, and analytical and substantive audit procedures.

Steps to planning the audit: 1. Planning the audit at the overall financial statement level 2. Determine the overall audit response 3. Detail planning of each material classes of transactions, account balance and disclosure 4. Audit plan for each separate account

Objectives if an audit - reasonable assurance, material misstatement and inherent limitations of an audit. Professional scepticism attitude of auditor. Concept of audit risk and audit opinion. Public Interest score theory and calculations. Reasonable assurance engagement and ISAE, ISA, ISRS

Key differences between computerised environment and manual system. Concepts involving general controls and application controls. Input controls - user related, documentation, screen aids. Masterfile controls- user related controls, documentation, screen aids. Batch controls for Debtors Masterfile.

Nature of bank and cash cycles with typical understanding. Functions within the cycle including risks, documents, parties involved and control objectives. Functions being Receipts, cash sales, payment preparation and payout, deductions. EFT payments risks and controls.

Nature and Purpose of Payroll and Personnel Cycle and typical understanding. Business risk and control objectives with internal control. Personnel Cycle (Human Resource), timekeeping, payment preparation, deductions: payment contributions. Documents involved, parties responsible, risks and control objectives.

Nature and purpose of the Acquisitions and payments cycle and typical understanding. Main activities, with risk, objectives, documents and people responsible. Request of goods, ordering of goods, warehouse receiving, payment preparation, actual recording.