User Account

All Pages

Assignment , Auditing

Assignment Help:

Length: 2000 words
Submission method options
Alternative submission method
Task
Question 1 (5%)

Case:

Battersby and Associates Chartered Accountants is a successful mid-tier accounting firm with a large range of clients across Australia. During the 2015 financial year Battersby and Associates gained a new client, Medical Services Holdings Group (MSHG), which owns 100 per cent of the following entities:
Green Grass Hospital, a private hospital group
Green Gardens Nursing Home Pty Ltd, a private nursing home
Complete Cancer Care Limited (CCCL), a private oncology clinic that specialises in the treatment of cancer.
Year end for all MSHG entities is 30th June.

CCCL owns two relatively old linear accelerators used in radiation therapy. Recently radiographers using these linear accelerators have raised concerns that they have adverse radiation impacts on patients.

The CEO of CCCL, Adam Chase, has approached Belinda Battersby, the audit partner responsible for the financial report audit, about undertaking an engagement in respect of the linear accelerators. Adam has requested Belinda provide an opinion that the linear accelerators are fit for use. Adam pointed out that the CCCL audit is up for tender the following year and suggested that Battersby and Associates might like to take on the linear accelerators engagement without charging a fee as a gesture of goodwill.

Source: Adapted from the CA Program’s Audit and Assurance exam, December 2008.

Required
What should Belinda do? Use the Code of Ethics for Professional Accountants and the American Accounting Association (AAA) Model to help consider your response to this question.

The best way to present your answer is in a table as below:
American Accounting Association Model
Decision making process
1. Determine the facts
The facts are ...
2. Define the ethical issues

3. Identify the major principles, rules and values

4. Specify the alternatives

5. Compare values and alternatives

6. Assess the consequences

7. Make your decision



Question 2 (5%)

Good corporate governance reduces the audit risk. Independent directors have been recognised as critical to good corporate governance.

Task
Prepare a report for your fellow students that:
describes the current Australian recommendations for the inclusion of independent directors in a board of directors,
evaluates the continuing need for independent directors, and
identifies barriers to the effectiveness of the role of independent directors.
Rationale
This assessment has been designed to assess your ability to:
Be able to explain and critically evaluate influences on audit and assurance services including: Australian and international professional standards, statutory and common laws, regulatory bodies, and public expectations within a global market;
Be able to exercise critical and reflective judgment and appreciate the value of ethical practice.


Marking criteria
Question 1



Criteria
HD
Distinction
Credit
Pass
Use of critical and reflective judgment in ethical practice in the application of the AAA guide (4.5 Marks).
Complex and detailed application of the ethical decision guide demonstrating strong critical and reflective thinking the use of the guide. There are extensive relevant references to ethical and auditing standards.
Logical application of the ethical decision guide demonstrating coherent critical and reflective thinking in the use of the guide. There are a number of relevant references to ethical and auditing standards.
Minor problems with the application of the ethical decision guide. There are some relevant references to ethical and auditing standards.
Ethical decision guide partially applied including some references to ethical and auditing standards.
Professional communication
(Note: you are required to space between paragraphs; use Arial 10pt or TNR 12 pt; use 1.5 or double line spacing)
(.25 Marks).
Work contains distinct understandable statements with no errors. There is a sophisticated use of language.
Extremely well organised.
Content is structured in a manner that facilitates the reader’s understanding.
Work contains distinct understandable statements with minimal errors.

Answer is well organised.
Content is structured in a manner that facilitates the reader’s understanding.
Minor spelling, grammar and punctuation errors. Work shows evidence of proofreading.
Well-structured with one main idea or argument provided per paragraph arguments/ideas.
Some spelling, grammar and punctuation errors found but the work is readable and structured.
Work may include
too many ideas in one
paragraph.
Appropriate resources and correct referencing
(.25 Marks)
Used four or more sources.
All work has been referenced correctly as per APA (6th edn) requirements.
Used two or more sources.
All work has been referenced correctly as per APA (6th edn) requirements.
Used one or more sources.
All work has been referenced within the body of the answer and in the reference list, with some omissions or errors in terms.
No additional sources other than the text used.
Others’ work is not always acknowledged and there are a number of errors or non-compliance with the APA (6th edn).
Question 2



Criteria
HD
Distinction
Credit
Pass
Description of the current Australian recommendations for the inclusion of independent directors in a board of directors. (1 Mark).

A complete description of the current Australian recommendations for the inclusion of independent directors in a board of directors. In addition it may refer to recommendations from international jurisdictions that are relevant to the Australian context.
A complete description of the current Australian recommendations for the inclusion of independent directors in a board of directors.
A description of the current Australian recommendations for the inclusion of independent directors in a board of directors.
Some attempt to describe the current Australian recommendations for the inclusion of independent directors in a board of directors.
Evaluation of the continuing need for independent directors
(2 Marks).
A complex and highly detailed evaluation of the need for independent directors is presented.
A logical attempt to evaluate the need for independent directors is presented.
A good attempt to explain the need for independent directors is presented.
Some attempt to explain the need for independent directors is presented.
Identification of the barriers to the role of independent directors (1 Mark).
Identification of the range of barriers to the role of independent directors is presented demonstrating a deep understanding of the issues.
Identification of many of the barriers to the role of independent directors is presented demonstrating a good understanding of the issues.
A number of the barriers to the role of independent directors are presented.
Some attempt to identify the barriers to the role of independent directors is presented.
Professional communication using a business report format.
(Note: you are required to space between paragraphs; use Arial 10pt or TNR 12 pt; use 1.5 or double line spacing) (.5 Mark).

Work is in a report format and contains distinct understandable statements with no errors. There is a sophisticated use of language.
Extremely well organised.
Content is structured in a manner that facilitates the reader’s understanding.
Work is in a report format and contains distinct understandable statements with minimal errors.

Answer is well organised.
Content is structured in a manner that facilitates the reader’s understanding.
Work is in a report format. There are minor spelling, grammar and punctuation errors. Work shows evidence of proofreading.
Well-structured with one main idea or argument provided per paragraph arguments/ideas.
Some spelling, grammar and punctuation errors found but the work is readable and structured. Some attempt at a business report format.
Work may include
too many ideas in one
paragraph.
Appropriate resources and correct referencing
(.5 Mark).
Used four or more sources.
All work has been referenced correctly as per APA (6th edn) requirements.
Used two or more sources.
All work has been referenced correctly as per APA (6th edn) requirements.
Used one or more sources.
All work has been referenced within the body of the answer and in the reference list, with some omissions or errors in terms.
No additional sources (other than the textbook) used.
Others’ work is not always acknowledged and there are a number of errors or non-compliance with the APA (6th edn).
Presentation
The report should follow a statndard business report format, an example of which is included in the Resources section of the subject Interact site.

Related Discussions:- Assignment

Managements interest in the accounting system, Managements interest in the ...

Managements interest in the accounting system Management needs complete and accurate books of accounts because: There is no other way the business can be controlled; Rec

Related party transactions, Related Party Transactions Related party t...

Related Party Transactions Related party transactions-a transfer of obligations or resources among related parties, regardless of whereas a price is charged. A party is rel

Initial identification - intangible asset, Initial Identification - Intangi...

Initial Identification - Intangible Asset Subsequent to initial identification, an intangible asset is carried at: a) Cost, less any accumulated amortization and any accumu

Types of audits, Types of audits So far we have tended to think in term...

Types of audits So far we have tended to think in terms of the audit of limited companies, and indeed, the emphasis throughout this text will be on such companies incorporated

Explain the objectives of an independent audit, Kevin Black, the sole owner...

Kevin Black, the sole owner of a small bakery, has been told that the business should have financial statements reported on by an independent auditor. Kevin Black, having some b

Auditor, auditor is a watch dog not a blood hound

auditor is a watch dog not a blood hound

Auditing case study, Fortex Limited, the meat processing firm, was formed i...

Fortex Limited, the meat processing firm, was formed in 1985 from three smaller companies. In 1993, however, after a few years of spectacular growth, the company collapsed. a)

Internal Audit., #quInternal Audit checklist for fixed assetsestion..

#quInternal Audit checklist for fixed assetsestion..

Tangible non current assets, Tangible Non Current Assets The verificat...

Tangible Non Current Assets The verification approach is fundamentally similar in each of these.  Extensive disclosure is utilized in most countries and IAS 16 Property Equipm

Describe the ethical threats, (a) State the FIVE threats contained within ...

(a) State the FIVE threats contained within Auditor's Code of Ethics and Conduct and for each threat list ONE example of a circumstance that may create the threat. (b) You a

Write Your Message!

Captcha
Order Assignment

Featured Services

Order Now

Popular Subjects

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd