2011 Audit CA

Lis9

Hi, was just looking to see if a discussion thread had started about the 2011 Audit continuous assessment on the 5th March.

I’m not working in audit, nor have studied the subject before so I’m totally green in this area.
Just printed off the shortlist of topics there, ie, (PPE, Investments, Bank & Cash, Inventory)

So I was thinking I would read the relevant ISAs in the Standards book and try to find past exam papers with these topics.

Doesn’t seem too difficult, just time consuming as everything’s so new to me :rolleyes:

Any more tips/ ways to go about studying the topics greatly appreciated :pac:

Lis9

Suppose I shoulda mentioned this is for CAP2!!!

figrolls

Did this last year, didnt even look at the standards book, did 2 hours study and got 10 our ot the 15 marks...

Inventory - Make sure you know details about stocktakes - reasons for, detailed instructions, rollforward/ roll back procedures etc.

Also valuation, obsolete stock etc may be relevent

Investments - If this comes up I'd image impairments may be quite relevant given the current climate

PPE and Cash and Bank - would probably be the easiest IMO, the Audit book for CAP 2 covers this pretty well
PPE - Fixed asset addtions, etc

Also have a look at possible journal entries for each topic, they saved my bacon last year!

Your best bet if to have a look at past Assessment papers, they're quite different to the summer and autumn exams

EveT

hi there,

how are people studying for this? Im not sure what I should be doing!

QueenV

EveT wrote: »

hi there,

how are people studying for this? Im not sure what I should be doing!

Me too.I've the chapters but Haven't a clue on what to do and time is running out!

ted2767

Get a hold of Modern Auditing by Cosserat & Rodda this covers it all fairly logically its dry especially if you're not applying it day to day but very doable if you stick at it for 7/8 hrs.

eyfm5

i am in the same boat. seems as if there was more info floating around for the SFMA assessment. very little chat about this exam.

EveT

head melted with this exam! dont know how to study for it.

Im trying to look at inventory, it mentions practice note 25, where do I find this? any tips on how to use the standards and guidance book?!

Lis9

I’m just wondering what people think of which topic is likely to come up on Sat?

We have sample papers of the type of questions that could be asked for 3 of the 4 topics:

• PPE (March 2010)
• Bank & Cash (sample CA paper)
• Inventory (sample CA paper and CA May 2010)

But no sample paper for the fourth topic, Investments.

Trade payables/ receivables seems to be a popular topic in the past, perhaps they could ask inventories if it’s new to the CA list this year?

EveT

Lis9 wrote: »

I’m just wondering what people think of which topic is likely to come up on Sat?

We have sample papers of the type of questions that could be asked for 3 of the 4 topics:

• PPE (March 2010)
• Bank & Cash (sample CA paper)
• Inventory (sample CA paper and CA May 2010)

But no sample paper for the fourth topic, Investments.

Trade payables/ receivables seems to be a popular topic in the past, perhaps they could ask inventories if it’s new to the CA list this year?

maybe bank and cash? it hasnt been asked before...

what are people looking at for investements, question wise, since we do not have samples?

LYLO

Don’t leave anything to chance. Best to have an overview of all the topics. The best thing is the audit procedure check list is similar to all the areas

Existence
Completeness
Accuracy
Valuation
Cut-off
Rights and Obligations/Ownership
Presentation and Disclosure

The only tricky part will be assessing the information of the question and spotting areas of concern

Know what substantive testing is and control testing and again answering it around the details of the questions and use your intuition and attention to detail – i seen in past questions marks going for picking up on calculation errors and leaving out subjects and headings on reports etc. Re-do the calculations and re-tot

Don’t worry too much on ISA as we are not suppose to know them inside out just yet, but do mention them if you think of it

Don’t just focus on the topic area when reviewing the Financial Statements
v there might be hints there on liquidity etc. E.g. past question on inventory had part of an answer - may be overstated if there is a downturn, look for excessive holding of inventory
v look for signs of obsolete stock and areas for provisions
v know your journal entries and debits and credits
v look for ownership rights
v overvaluations

If you think something is relevant, then mention it more than likely you will be right, providing you’re not moving away from the question being asked

Don’t forget the mention the details of the question!!!!! There will be hints in the details given about the company you are auditing

Best of luck and feel free to add your own ideas to help us all