1. Support and Guidance for Students in London and Cyprus
Auditing Assignment
Support and Guidance for Students in London and Cyprus

2. Assignment Support This assignment support is only for guidance
Students are encouraged to carried out extensive research work in order to find solution to the assignment question.
Students should read relevant research articles in Auditing to obtain sufficient information for this assignment

3. Introduction to Assignment
Back ground information about the company
Type of business
Nature of FRC investigation
Financial status of company before failure
Directors payments and bonus
Pension loophole
Government contracts

4. Audit Quality and potential factors compromised audit quality
Lack of knowledge of business
Intimidation threat is high
Staff competence
Time pressure
Lack of corporation from senior management
Evidence is with held by client staffs
In adequate planning in gathering sufficient audit evidence
Sampling size
Over-reliance on technology

5. Audit Quality and potential factors compromised audit quality
High level audit risk and business risk vs Low materiality level
High materiality level(Tesco plc)
Lack of supervision and direction
Routine procedures
High level of familiarity threats
High level of self-interest threats
Lack of professional judgement
Disagreement with management

6. Social and economic consequence of Audit Failures
Damage people lives
Loss of employment
Loss of earnings
High level of regulations
Loss of confidence in Auditors
Loss of public services
Lack of independent of auditors
Fraud

7. Social and economic consequence of audit failure
Serious distortion of financial information
Mis-application and mis-interpreting GAAP
Commit fraud and favourable audit reports
Financial and non-financials interest in the audit client
Personal relationship and lack of Independence
Expectation Gap- Auditor vs General public
Mis-conception of auditors responsibilities.
Auditors incompetence

8. Going concern and indicators
Definition of Going concern
Symptoms of going concern
Auditor’s failure to identify the symptoms
Type of audit report should be issue in this case
What is the reason for issue unmodified audit report
Fail right issue attempts
Revenue recognition
Intangible assets vs Tangible assets
Accounting policy notes

9. Conclusion and Referencing
General conclusion of your thoughts/recommendation
Referencing and citation for the source data
Word limit maximum 2000
Deadline:6th April
Turnitin submission-ONLY

10. Video Link https://www.youtube.com/watch?v=8vb3Cp1AH04

11. Video Link https://www.youtube.com/watch?v=_lOXCDwoP-Y