Reference no: EM131733642

Assignment -

This assessment provides students an opportunity to accomplish a case study which reflects the real world practice of audit in a group of a maximum of four members. This assessment requires groups to find the 2015 annual reports containing the audit reports for two Australian ASX listed companies (2 companies, 2 financial statements and 2 audit reports). The two companies must operate in different industries (for example, you choose an airline company and a mining company). Please ensure groups obtain an approval from your lecturer/tutor by week 3 and get your name and companies recorded on the list.

You are required to address the following issues-

1. Briefly explain the background of the two companies.

2. Compare and contrast the 2 financial statements: how did they perform compared to the industry? How were they presented compared to one another?

3. Find out key business and inherent risks for the two industries in which the two companies operate in.

4. Explain what audit strategies and audit tests have been undertaken for both companies by their auditors.

5. Compare and contrast the 2 audit reports: who were auditors? what do the audit opinions mean?

6. Discuss the limitation of these 2 audit reports from the users perspectives.

7. Discuss the responsibility of auditors for each company.

Given the primary objective of this assignment is to critically analyse and review key issues and problems in audit, students are expected to read widely to assist in the development of their own ideas and concepts. You need to support your arguments all the way throughout the essay/report with the concepts, standards and rules associated with audit and assurance service.  The marking scheme for this assessment focuses on the following criteria:

1. the quality of analysis;

2. ability to identify and relate the core issues of the questions to key audit concepts; 

3. application of relevant audit standards;  and

4. ability to communicate ideas succinctly and grammatically correct.

Please use Harvard referencing system in your report. The word limit for this assignment is 2500 words.