ACCA Paper F8 Audit and assurance (International)

S T U D Y AUDIT AND ASSURANCE (INTERNATIONAL) T E X T In this edition approved by ACCA x We discuss the best strategies for studying for ACCA exams x We highlight the most important elements in the syllabus and the keyskills you will need x We signposthow each chapter links to the syllabus and the study guide x We provide lots of examfocus points demonstrating what the examiner will want you to do x We emphasisekeypoints in regular fastforwardsummaries x We testyourknowledge of what you`ve studied in quickquizzes x We examineyourunderstanding in our examquestionbank x We referencealltheimportanttopics in our full index BPP`s i-Learn and i-Pass products also support this paper. FOR EXAMS IN 2010 First edition 2007 Fourth edition September 2009 ISBN 9780 7517 7609 6 (Previous ISBN 9870 7517 6372 0) British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library Published by BPP Learning Media Ltd BPP House, Aldine Place London W12 8AA www.bpp.com/learningmedia Printed in the United Kingdom All our rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of BPP Learning Media Ltd. We are grateful to the Association of Chartered Certified Accountants for permission to reproduce past examination questions. The suggested solutions in the exam answer bank have been prepared by BPP Learning Media Ltd, unless otherwise stated. Your learning materials, published by BPP Learning Media Ltd, are printed on paper sourced from sustainable, managed forests. © BPP Learning Media Ltd 2009 ii Contents Page Introduction How the BPP ACCA-approved Study Text can help you pass v Studying F8 vii The exam paper x Part A Audit framework and regulation 1 Audit and other assurance engagements 3 2 Statutory audit and regulation 17 3 Corporate governance 35 4 Professional ethics 49 Part B Internal audit 5 Internal audit 75 Part C Planning and risk assessment 6 Risk assessment 93 7 Audit planning and documentation 117 8 Introduction to audit evidence 129 Part D Internal control 9 Internal control 141 10 Tests of controls 159 Part E Audit evidence 11 Audit procedures and sampling 191 12 Non-current assets 215 13 Inventory 225 14 Receivables 243 15 Cash and bank 257 16 Liabilities and capital 267 17 Not-for-profit organisations 281 Part F Review 18 Audit review and finalisation 295 Part G Reporting 19 Reports 313 Exam question bank 335 Exam answer bank 355 Index 393 Review form and free prize draw Contents iii A note about copyright Dear Customer What does the little © mean and why does it matter? Your market-leading BPP books, course materials and e-learning materials do not write and update themselves. People write them: on their own behalf or as employees of an organisation that invests in this activity. Copyright law protects their livelihoods. It does so by creating rights over the use of the content. Breach of copyright is a form of theft – as well as being a criminal offence in some jurisdictions, it is potentially a serious breach of professional ethics. With current technology, things might seem a bit hazy but, basically, without the express permission of BPP Learning Media: x Photocopying our materials is a breach of copyright x Scanning, ripcasting or conversion of our digital materials into different file formats, uploading them to facebook or emailing them to your friends is a breach of copyright You can, of course, sell your books, in the form in which you have bought them – once you have finished with them. (Is this fair to your fellow students? We update for a reason.) But the e-products are sold on a single user licence basis: we do not supply ‘unlock’ codes to people who have bought them second-hand. And what about outside the UK? BPP Learning Media strives to make our materials available at prices students can afford by local printing arrangements, pricing policies and partnerships which are clearly listed on our website. A tiny minority ignore this and indulge in criminal activity by illegally photocopying our material or supporting organisations that do. If they act illegally and unethically in one area, can you really trust them? iv ... - tailieumienphi.vn