Overall objectives:

1 - Recognize the key role of auditing in modern organizations.
2 - Differentiate between external and internal audit and identify the key elements in the audit process.
3 - Identify the most appropriate internal control procedures for the different areas.
4 - Interpret key elements of the legal account certification process.
5 - Design and apply a simple audit process and learn about the different types of opinion.
6 - Know and interpret the main auditing standards in Portugal.
7 - Prepare simple audit reports.

Syllabus:

1 - Introduction.
1.1 - Audit concept
1.2 - Audit evolution in the world.
1.3 - Auditing in Portugal.
2 - Audit types and standards.
2.1 - External audit.
2.2 - Internal audit.
2.3 - The main differences and methodologies of EA and IA.
3 - Organization of an Audit.
3.1 - General audit procedures
3.2 - Audit procedures and tests.
3.3 - Types of auditing tests.
3.4 - The audit risk.
3.5 - Audit sampling selection techniques.
3.6 - Planning, Execution and Quality control of an audit.
3.7 - The importance of audit evidence
3.8 - The working papers.
3.9 - The permanent "Dossiers" and current "Dossiers".
4 - The Internal Control System.
4.1 - Concept and objectives of internal control
4.2 - Types and limitations of internal control.
4.3 - Responsibilities, segregations and functional roles.
4.4 - Components of the internal control structure.
4.5 - Evaluation of internal control.
5 - The internal control and the different cycles of the entity and its analyses.
5.1 - Net Financial Resources.
5.2 - Purchases of goods and services, personnel expenses and accounts payable.
5.3 - Inventories and cost of inventories sold and consumed.
5.4 - Sales and accounts receivable.
5.5 - Investments.
5.6 - Equity, additions and deferrals.
6 - Global audit process.

Literature/Sources:

Arens, A. A.; Elder, R. J. & Beasley, M. S. , 2008 , Auditing and assurance services: An Integrated Aproach, 12th ed. , Prentice Hall, New Jersey
Boynton, W. C. & Raymon, J. , 2006 , Modern Auditing: assurance services and the integrity of financial report, 8ª ed. , Wiley
Costa, C. B. , 2010 , Auditoria Financeira: Teoria e prática, 9ª ed. , Rei dos Livros

Assesssment methods and criteria:

Classification Type: Quantitativa (0-20)

Evaluation Methodology:
The evaluation of the Course Unit includes the completion of two tests with a weight of 50% each. These two elements of assessment can be recovered at the time of appeal and be subject to improvement.