ACCT 409 SYLLABUS
Fall 2011
INSTRUCTOR:
OFFICE:
Class Time/Place:
OFFICE HOURS:
TELEPHONE:
E-mail:
Mike Cipriano, Ph.D (CPA – Inactive since 1995, State of Illinois)
411 Beatty
TR 12:15-1:30pm in BCTR 214
TBD
3-7166
ciprianom@cofc.edu
Last day to drop a course with a grade of ‘W’ being recorded” is Friday, October 21.
REQUIRED MATERIALS:
Auditing: A Business Risk Approach, 8th edition, Rittenberg, Johnston, Gramling.
An EDISTO email account (that you are expected to check regularly) and access to OAKS.
OPTIONAL COURSE MATERIALS:
Any CPA Exam Review packet for Auditing.
PREREQUISITES: Thorough understanding of GAAP (ACCT 316 and 317)
CELL PHONES: Any time that your cell phone (or anything with cell-phone-like attributes) rings or beeps or
vibrates or does anything to disrupt class, you will have 5 points deducted from your total points in the course.
There are no exceptions to this rule.
GOALS/OBJECTIVES OF THE COURSE:
Goal 1: Technical Competence/Problem Solving Ability
Students will demonstrate an understanding of generally accepted auditing standards (GAAS).
Students will develop the ability to perform estimates of materiality and risk assessments that are typically
conducted during audit planning.
Students will demonstrate an understanding of standards and procedures related to assessing clients’ internal
controls, including the COSO framework, attribute sampling and the categorization of control deficiencies
identified during audits.
Students will demonstrate an understanding of risk-adjusted balance testing, which requires an appreciation of the
Audit Risk Model, an understanding of management’s assertions and the ability to identify appropriate audit
evidence to support clients’ assertions.
Students will understand the reporting options an auditor has at the culmination of both financial statement and
internal control audits.
Goal 2: Ethical Awareness and Social Responsibility
Students will demonstrate an understanding of the importance of professional ethics in the field of auditing,
including the commitment to the two General Standards upon which the auditing profession is built:
Independence and Professional Skepticism.
Students will have an appreciation of their fiduciary duty to all stakeholders relying on the audit process to be
both effective and efficient.
Goal 3: Effective Communications
Given the interactive nature of the auditing profession, students will demonstrate the ability to acquire
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information required for various audit tasks applying professional skepticism and using effective communications.
Students will also document their audit work in a clear, persuasive manner and in accordance with relevant
auditing standards.
A final note: I teach the class, the book does NOT! As such, the material from lectures will be drawn from many
sources. You will be responsible for all material covered in lecture, in addition to readings assigned from the
textbook and other sources (i.e. Wall Street Journal, Business Week, etc.) to which you have free access. There is
NO substitute for attending class. I promise to prepare lectures and classroom exercises that should help you
learn concepts. I also will use a fair amount of analogies and references that are meant to both make class
enjoyable and assist all students to retain and internalize the most important underlying principles of auditing
and ethical financial reporting.
HONOR CODE/CHEATING:
Lying, cheating, attempted cheating, and plagiarism are violations of our Honor Code that, when
identified, will be THOROUGHLY investigated by me. It is important to remember that unauthorized
collaboration--working together without permission-- is a form of cheating. Unless I specify that
students can work together on an assignment and/or test, NO collaboration is permitted. I have no
plans on EVER permitting collaboration. Other forms of cheating include possessing or using an
unauthorized study aid (such as a PDA), copying from another’s exam, fabricating data, and giving
unauthorized assistance to a fellow student(s).
I don’t think you’ll meet any faculty member who feels as strongly about cheating as I do. The biggest
problem in the accounting profession is that CPAs are often willing to cheat in order to keep from
“rocking the boat.” I believe that this is a direct result of cheating being “ok” in our society. Trust me,
it is NOT OK in this class.
MY MEASUREMENT OF YOUR PROGRESS IN ACHIEVING COURSE OBJECTIVES (I.E. GRADING)
(a) Homework (100 points)
During the course of the semester, I will assign 4 25-point homework exercises that will be collected for
grading. Each assignment will be made at least 1 class period in advance of the due date.1 These
assignments will be written by me and are to be done by each individual (NO INTERACTION WITH
ANY OTHER STUDENTS AT ALL). Copying other students' answers or assisting others is
considered a violation of academic integrity and will result in zero points for all students involved.
I will also pursue the most severe consequences allowable by the College of Charleston.
(b) In-class Quizzes (100 points)
To motivate class preparedness and to provide feedback on your level of understanding, a 20-point
timed quiz will be administered and collected for grading at the BEGINNING of 6 classes this semester.
I will keep your best 5 quizzes. Quizzes are to be done by each individual (NO INTERACTION
WITH ANY OTHER STUDENTS AT ALL). Copying other students' answers or assisting others
is considered a violation of academic integrity and will result in zero points for all students
involved. I will also pursue the most severe consequences allowable by the College of Charleston.
You will sit at least 1 seat apart from all students during each quiz.
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Due date is to be strictly interpreted as “AT THE BEGINNING OF CLASS on the due date.” Any work received after this
date/time will be severely penalized.
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(b) In-class Quizzes (continued):
Makeup quizzes will be arranged for the following reasons provided that I am made aware of the reason
for said absence BEFORE the quiz:
(a) Absences due to athletic participation or other extracurricular activities in which students are
official representatives of the College (appropriate documentation is required to support your
claim).
(b) Absences due to illness requiring emergency medical attention for student or death in a
student’s immediate family (appropriate documentation is required to support your claim).
(c) Exams (100 points)
I will administer a 50 point Mid-term on October 11 and a 50 point Cumulative Final Exam during
Finals Week. The exams are to be done by each individual (NO INTERACTION WITH ANY
OTHER STUDENTS AT ALL). Copying others’ work or assisting others is considered a violation
of academic integrity and will result in zero points for all students involved. I will also pursue the
most severe consequences allowable by the College of Charleston. You will sit at least 1 seat
apart from all students during each exam.
Makeup exams will be arranged for the following reasons provided that I am made aware of the reason
for said absence BEFORE the exam:
(a) Absences due to athletic participation or other extracurricular activities in which students are
official representatives of the College (appropriate documentation is required to support your
claim).
(b) Absences due to illness requiring emergency medical attention for student or death in a
student’s immediate family (appropriate documentation is required to support your claim).
GRADING SCALE
A
AB+
B
BC+
93.0%+
90.0 - 92.9%
86.0 - 89.9%
83.0 - 85.9%
80.0 - 82.9%
76.0 - 79.9%
C
CD+
D
DF
73.0 - 75.9%
70.0 - 72.9%
66.0 - 69.9%
63.0 - 65.9%
60.0 – 62.9%
Below 60%
CLASSROOM MODIFICATIONS AND ACCOMMODATIONS
If there is a student in this class who has a documented disability and has been approved to receive
accommodations through SNAP Services, please feel free to come and discuss this with me during my
office hours.
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SCHEDULE & ASSIGNMENT SHEET*:
Date
T 8/23
Topic
Expectations for Class
R 8/25
Intro to Auditing Profession Day 1
(Chapters 1A, 1C, 2)
The Auditor’s Ethical Code (Chapter 3)
The Law = GAAS (Chapter 1B)
Audit Planning and the ARM
(Chapter 4)
Audit Planning and Materiality (Chapter 4)
Final Thoughts on Audit Planning
(Chapters 4 and 7)
Executing Audit Work Day 1:
Management’s Assertions (Chapter 7)
Executing Audit Work Day 2:
Gathering Evidence to Support
Management’s Assertions (Chapter 7)
Assessing Inherent Risk (Chapter 4)
Assessing Control Risk Day 1:
COSO and Post-SOX Reporting
Requirements (Chapters 5 and 6)
Assessing Control Risk Day 2:
COSO and Post-SOX Reporting
Requirements (Chapters 5 and 6)
Assessing Control Risk Day 3:
COSO and Post-SOX Reporting
Requirements (Chapters 5 and 6)
Review for MT
MIDTERM EXAM
Assessing Control Risk Day 4:
Attribute Sampling to test controls
(Chapters 5 and 8)
Assessing Control Risk Day 5:
Control Testing Example
(Chapter 10)
Assessing Control Risk Day 6:
Control Testing Example
(Chapter 10)
A comprehensive example: Auditing Cash
Day 1 (Chapters 7 and 12)
A comprehensive example: Auditing Cash
Day 2 (Chapters 7 and 12)
Another comprehensive example: Auditing
Balances in the Revenue Cycle Day 1
(Chapter 10)
Another comprehensive example: Auditing
Balances in the Revenue Cycle
(Chapter 10)
T 8/30
R 9/1
T 9/6
R 9/8
T 9/13
R 9/15
T 9/20
R 9/22
T 9/27
R 9/29
T 10/4
R 10/6
T 10/11
R 10/20
T 10/25
R 10/27
T 11/1
R 11/3
T 11/8
R 11/10
Graded Work
Syllabus Certifications Due
4
HW 1 Due (GAAP)
Quiz 1
HW 2 Due (Materiality)
Quiz 2
HW 3 Due (Inherent Risk)
Quiz 3
Quiz 4
SCHEDULE & ASSIGNMENT SHEET (continued)*:
T 11/15
R 11/17
T 11/22
T 11/29
R 12/1
Another comprehensive example: Auditing
Balances in the Revenue Cycle
(Chapter 10)
Wrapping Up the Audit (Chapter 15)
Audit Reports (Chapter 16)
SAS 99 – The Auditor and Fraud
(Chapter 9)
Review for FINAL
Tuesday, December 13 at Noon
HW 4 Due (Cash)
Quiz 5
Quiz 6
CUMULATIVE FINAL EXAM
* I reserve the right to change this schedule at any time in class or through email.
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SYLLABUS CERTIFICATION FORM
PENALTY FOR NOT SIGNING AND RETURNING THIS FORM
AFTER CLASS ON ______________ = A DEDUCTION OF 10
POINTS FROM YOUR TOTAL POINTS FOR THE TERM.
I, _____________________________, certify that I read and
(PRINT NAME)
understood the syllabus for ACCT 409 taught by Mike Cipriano. I
understand that the syllabus serves as a contract between Mike
Cipriano and me.
________________________________________________
Signature
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___________________
Date