Chartered Accountants are popularly known as “Auditors”. Auditing in simple words means the process of verification. Auditing is one of the areas where authority is given exclusively for Chartered Accountants. This subject provides insights to the basic concepts of auditing that must be followed in practical scenarios. “Auditing is a melting pot of all other subjects may it be accounting, Law, taxation or even EIS ”.This paper enables you to understand about key areas in auditing such as various types of audit opinion, audit report format, obligations required under various laws, etc. An auditor ought to have expert knowledge of the subject and hence this paper is set as a foundation for practical training & CA Final.
The topics covered in Auditing & Assurance at CA Intermediate Level
Nature, Objective & Scope of Audit, Audit strategy, Planning and Programme
Audit Documentation & Evidence
Risk Assessment and Internal control
Fraud and Responsibilities of Auditor in this regard
Audit sampling, procedures, Analytical procedures
Audit of items of financial statements (Vouching & verification)
Company Audit & Audit report
Audit of Banks and different types of entities
The best approach to study Auditing & Assurance
It is a common misconception that Auditing & Assurance is a theory paper; indeed, it is the most practical oriented paper in the CA course
While answering any question, think with an open-mind, do not limit the answers to auditing text books. Relate it to knowledge gained in other subjects, link it and write all the relevant points
Write hand-written notes. This has 2 advantages: (i) You analyse while you write and (ii) They are your last-minute savior
Try using the same language of standards as used in the books
Start speaking in Auditing language!
Do not quote incorrect SA numbers or wrong sections
Credit system allows you to plan your learning smartly and with flexibility. Watch the video to find out more about how the credit system works, and how you can leverage this for your success.