FAE Audit Elective 2014

Chris Partlow · 18-07-2014 10:52AM

Dellboy2007 wrote: »

Not too sure about the slides. I wouldn't say they are vital Chris, there is only a slide or two for each sim saying: who you are, who you're reporting too and one liners on the indicators, i.e. Audit risks, etc.

It's more helpful in terms of what he says, for example, always look out for plc vs ltd, always refer to standard, etc.

Cheers for that. How long did the session go on for out of interest?

FAE14 · 18-07-2014 11:26AM

Chris Partlow wrote: »

Cheers for that. How long did the session go on for out of interest?

2 hours.

NBA1998 · 23-07-2014 09:21AM

Is there only one AAE steps case?

mark_m360 · 23-07-2014 11:03AM

NBA1998 wrote: »

Is there only one AAE steps case?

I believe so yes. And there is no more elective cases in the Summer steps cases either.

colint104 · 27-07-2014 12:47PM

Has anyone got any good notes for audit elective?

Thanks in advance

Edelly · 31-07-2014 04:41PM

Hey!

Have people got stuck into the elective yet? I haven't really at all and am kind of freaking out at this stage as I've still so much to cover in the core! :-(

kookies · 02-08-2014 02:34PM

Edelly wrote: »

Hey!

Have people got stuck into the elective yet? I haven't really at all and am kind of freaking out at this stage as I've still so much to cover in the core! :-(

I started properly yesterday got overwhelmed by the amount of information we have! Does anyone know if those ODCE notes etc are really relevant?

Started cases and they seem manageable but i havent really seen reference to anything other than the ISAs, IASs and related services yet.

Ill be spending the entire month on cases!!

colint104 · 04-08-2014 12:05AM

Hi everyone, has anyone any reasonable notes for audit elective? Please pm them. I would be very great full.

Thanks in advance

donnem33 · 05-08-2014 11:19AM

did anyone go to the CGS days? would the book of notes be worth buying?

kookies · 05-08-2014 11:51AM

donnem33 wrote: »

did anyone go to the CGS days? would the book of notes be worth buying?

I went to the CGS days however I find sean murrays notes much easier to use in terms of answering questions. But thats just my view.
They are more specific. I use session 10 as my guide to the relevant lecture slides and so forth!

Im sure others will have a different opinion!

Edelly · 06-08-2014 11:14AM

kookies wrote: »

I went to the CGS days however I find sean murrays notes much easier to use in terms of answering questions. But thats just my view.
They are more specific. I use session 10 as my guide to the relevant lecture slides and so forth!

Im sure others will have a different opinion!

Do you not find his notes a little untidy and a bit all over the place though? Or is that just me?

cian twomey · 06-08-2014 07:14PM

is anyone watching sean murrays lectures on line or do you think it would be enough just to use the notes, tough to site through for a couple of hours!

womandriver · 08-08-2014 04:12PM

Been watching the corporate gov online lecture, head is melted. Hope that sh*t doesn't come up!

kenner24 · 11-08-2014 09:41PM

Edelly wrote: »

Do you not find his notes a little untidy and a bit all over the place though? Or is that just me?

Thank you! Glad someone said it i feel like im taking crazy pills!!! Find i have to do twice the work to fill out the notes tbh. Wont be bringing them anywhere near the exam!!

babycake1985 · 12-08-2014 02:28PM

Hey!

I am repeating the audit elective this year and as I did not attend the classes again I do not have access to any of the notes. Can someone please send me on a link of where I can gain access to Audit Elective case studies pretty please?

Dellboy2007 · 12-08-2014 03:52PM

babycake1985 wrote: »

Hey!

I am repeating the audit elective this year and as I did not attend the classes again I do not have access to any of the notes. Can someone please send me on a link of where I can gain access to Audit Elective case studies pretty please?

https://www.dropbox.com/s/9a7xz0579gzw71n/FAE%20AAE%20ROI.zip

And

https://www.dropbox.com/s/jol2p0m8h3tognc/FAE%20AAE%20-%20Solutions%20to%20cases%20-%20session%206%20to%209.zip

I think that's it. I'm on my phone so can't open zip files.

cian twomey · 15-08-2014 03:35PM

the 2011 paper is a killer, was that the one with the 55% pass rate, thankfully last 2 years have been a lot more doable

20 Times 20 Times · 15-08-2014 04:13PM

cian twomey wrote: »

the 2011 paper is a killer, was that the one with the 55% pass rate, thankfully last 2 years have been a lot more doable

just one case was very hard - the other two cases that year were quite easy.

Chris Partlow · 18-08-2014 08:20AM

I was looking over the mock there again and at the Passot Mining Case in particular. Does anyone know what the correct audit report would have been, had they asked for it, re not reporting the accident to the regulator?

Would it have been an "Other Matter" para, depending on whether or not they were in breach of regulation (which they presumably were).

Would an "EOM" para be necessary as well as an "Other Matter", firstly, depending on whether or not there is a material fine from SAMA, the impairment from the mining collapse, Provision as a result of accident, GC as result from all of the above... but also, is there an obligation to disclose disasters such as this in the FS? and would there be an EOM para for the Directors simply not adequately disclosing the accident in the FS?

Or would it be "except for"/"Adverse" for no mention of mining accident at all in the FS??

Sorry if I'm rambling a bit but this was wrecking my head yesterday...

Chris Partlow · 24-08-2014 05:07PM

What are people's thoughts on the 3 new cases this year? Saved Ballyvaughen til now. Tried it early and I dunno is it me or what but the solution seems all over the place! Very vague and the solution seems to make reference to comments that arent in the case...

Also, the solution completely ignored the part in the question regarding the board member in Tipp Credit Union.

kenner24 · 24-08-2014 07:37PM

Can anyone shed a little light on the reporting to third parties? I can never pick the right report

does anyone have a useful mind map on how to arrive at the right report???

mark_m360 · 24-08-2014 08:08PM

Chris Partlow wrote: »

What are people's thoughts on the 3 new cases this year? Saved Ballyvaughen til now. Tried it early and I dunno is it me or what but the solution seems all over the place! Very vague and the solution seems to make reference to comments that arent in the case...

Also, the solution completely ignored the part in the question regarding the board member in Tipp Credit Union.

Yeah found it strange that they left that part out but I suppose it is included in the audit risks. I would of thought that the rationale used would be the tipp board member though.

Yeah it doesn't seem as detailed an answer as some. What are the other 2 case studies you refer to?

Soap_Soup · 25-08-2014 05:34PM

Autumn 2010 - Daniel Stores

In my answer I thought one of the key points was that under ES5 doing the non audit work could be perceived as an advocacy (or management) threat. However they could make use of the PASE as long as they disclose the non audit work performed in the auditors report.

The institute's solution doesn't mention any of this. I.e there seems to be no issue in doing the non audit work at all. Can anyone help me understand why I'm wrong?

Chris Partlow · 25-08-2014 05:34PM

mark_m360 wrote: »

Yeah found it strange that they left that part out but I suppose it is included in the audit risks. I would of thought that the rationale used would be the tipp board member though.

Yeah it doesn't seem as detailed an answer as some. What are the other 2 case studies you refer to?

Ace Physio and Rowland Financial Services. Thought they were better.

They mention RPTs vaguely alright but not sign of them applying it back to the case... which was what the FAE and elective is supposed to be all about!

Chris Partlow · 25-08-2014 05:39PM

Soap_Soup wrote: »

Autumn 2010 - Daniel Stores

In my answer I thought one of the key points was that under ES5 doing the non audit work could be perceived as an advocacy (or management) threat. However they could make use of the PASE as long as they disclose the non audit work performed in the auditors report.

The institute's solution doesn't mention any of this. I.e there seems to be no issue in doing the non audit work at all. Can anyone help me understand why I'm wrong?

I dont think you're wrong. If solution to 2012 Happy Holidays AUP question is you're correct. I think because this what an older case and ES 5 had been revised since that's possibly why it wasn't included in the solution for 2010.

womandriver · 25-08-2014 05:59PM

Chris Partlow wrote: »

I don't think you're wrong. If solution to 2012 Happy Holidays AUP question is you're correct. I think because this what an older case and ES 5 had been revised since that's possibly why it wasn't included in the solution for 2010.

You're not taking on a management role though, you're doing a separate report on factual findings, it's not an opinion or advocating anything, it's just facts so there's no risk of mgt role or advocacy. Therefore there's no need to apply the ES PASE exemption because there's no risk in first place.

I have the solution updated for 2013/2014 and it also makes no specific reference to ES 5.

The solution to Happy Holidays specifically points out that advocacy and management threats don't arise in AUP situations.

Soap_Soup · 25-08-2014 06:09PM

I would have thought if you're carrying out non audit services for an audit client you would have to reference ES5 in someway.

So - would this mean if asked to carry out agreed upon procedures for an audit client, there are no considerations under the Ethical Standards?

Sorry I'm trying to scrape my audit knowledge together today, going through notes etc.

Soap_Soup · 25-08-2014 06:10PM

Just seen your point about Happy Holidays - ill look that up. Thanks!

womandriver · 25-08-2014 06:17PM

Soap_Soup wrote: »

I would have thought if you're carrying out non audit services for an audit client you would have to reference ES5 in someway.

So - would this mean if asked to carry out agreed upon procedures for an audit client, there are no considerations under the Ethical Standards?

Sorry I'm trying to scrape my audit knowledge together today, going through notes etc.

There is consideration of the ethical standards including ES 5 but you point out whether there's a risk or not.

No management risk arises with AUP as it's just a report of facts, so you can't apply ES PASE as it deals with a non-existent risk in this case.

womandriver · 25-08-2014 06:26PM

Soap_Soup wrote: »

I would have thought if you're carrying out non audit services for an audit client you would have to reference ES5 in someway.

So - would this mean if asked to carry out agreed upon procedures for an audit client, there are no considerations under the Ethical Standards?

Sorry I'm trying to scrape my audit knowledge together today, going through notes etc.

There's no risk of mgt role due to nature of AUP report, there's still the other ES 1-4 to consider. Sorry if I'm repeating this point but I want to make sure you haven't misunderstood the point I was making.

AUP has come up twice already too so one of the other reports are prob more likely, which is unfortunate as AUP is probably most straightforward

FAE Audit Elective 2014

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