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Qualification - OTHM Level 7 Diploma in Accounting and Finance

Unit Name - Strategic Audit

Level - Level 7

Unit Reference Number - Y/615/3240

Unit Credit - 20

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Aim

The aim of this unit is to develop learners' understanding of how managers can position and execute business strategy appropriately. This will involve an in-depth study of the strategic auditing process and related procedures. Learners will be able to understand and apply suitable investigative techniques to both positive and negative environments.

Learning Outcome 1: Understand historic and current auditing processes and procedures.

Learning Outcome 2: Understand the importance of legal and professional requirements when completing an audit.

Learning Outcome 3: Understand audit strategy.

Learning Outcome 4: Understand the risk involved in the audit process.

Learning Outcome 5: Understand current developments in auditing.

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Scenario

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Task 1 Business Report

You have been employed by a large auditing firm as a senior audit practitioner. The audit firm specialises in audit and assurance services across a relatively large geographic area.

You have been asked to prepare a business report to be presented to new members of the audit firm.

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You are required to include the following information in your business report.

1. An assessment of historic and current auditing processes and procedures. You are advised to include practical examples based on an audit firm you have researched.
2. An explanation of the rules of professional conduct for auditors.
3. A critical assessment of the rules of professional conduct for auditors.
4. An assessment of current developments in auditing.
5. An assessment of the importance of the current development in audit processes.
6. An explanation of legal and professional requirements when completing an audit.
7. An evaluation of the importance of legal and professional requirements for auditors on the performance of an audit being completed.
8. An analysis of audit strategies used in business organisations.
9. An assessment of the effectiveness of audit monitoring processes.
10. A discussion of the risk involved in the audit process and an analysis of measures to minimize identified risk.
11. An explanation of the link between accounts preparation and audit completed.

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Learning Outcome - The learner will:

Assessment criterion - The learner can:

1. Understand historic and current auditing processes and procedures.

1.1 Assess the historic and current auditing regulatory environment.

1.2 Explain the rules of professional conduct for auditors.

1.3 Critically assess the rules of professional conduct for auditors.

2. Understand the importance of legal and professional requirements when completing an audit.

2.1 Explain the legal and professional requirements when completing an audit.

2.2 Evaluate the importance of the legal and professional requirements on the performance of an audit.

3. Understand audit strategy.

3.1 Analyse audit strategy used in business organisations.

3.2 Assess the effectiveness of the audit monitoring process.

4. Understand the risk involved in the audit process.

4.1 Discuss the risk involved in the audit process

4.2 Analyse appropriate measures to minimise identified risk.

4.3 Explain the link between account preparation and the audit completed.

5. Understand current developments in auditing.

5.1 Assess current development in auditing.

5.2 Assess the importance of the current developments in audit processes.

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