Assessor Resource

FNSACCT602B
Audit and report on financial systems and records

Assessment tool

Version 1.0
Issue Date: April 2024


This unit requires the application of skills and knowledge requires to audit and report of financial systems and records. The unit encompasses assessing options, identifying information sources, determining audit strategies, scheduling resources and timelines and monitoring progress, reviewing data, verifying statements and determining reporting formats.

The auditing and reporting of financial systems and records can be applied to all sections of the financial services industry.

This unit requires the application of skills and knowledge requires to audit and report of financial systems and records. The unit encompasses assessing options, identifying information sources, determining audit strategies, scheduling resources and timelines and monitoring progress, reviewing data, verifying statements and determining reporting formats.

The auditing and reporting of financial systems and records can be applied to all sections of the financial services industry.

This unit covers the competency to supervise an audit of financial systems and prepare the appropriate reports.

This unit covers the competency to supervise an audit of financial systems and prepare the appropriate reports.

You may want to include more information here about the target group and the purpose of the assessments (eg formative, summative, recognition)

Prerequisites

Not applicable.

Employability Skills

The required outcomes described in this unit of competency contain applicable facets of employability skills. The Employability Skills Summary for the qualification in which this unit of competency is packaged, will assist in identifying employability skills requirements.

The required outcomes described in this unit of competency contain applicable facets of employability skills. The Employability Skills Summary for the qualification in which this unit of competency is packaged, will assist in identifying employability skills requirements.



Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

EVIDENCE GUIDE

Assessment of performance requirements in the unit should be undertaken in an industry context. The Evidence Guide identifies the critical aspects, knowledge and skills to be demonstrated to confirm competency for the unit. Competency is demonstrated by performance of all stated criteria including the Range Statement applicable to the workplace.

Overview of assessment requirements

To achieve competency in this unit, a person must be able to demonstrate:

knowledge of organisational policies and procedures

knowledge of relevant professional standards

knowledge of internal control procedures

ability to access options

ability to identify information sources

ability to determine audit strategies

ability to schedule resources and timelines and monitor progress

ability to review data

ability to verify statements

ability to determine reporting formats

Critical aspects of evidence

Evidence required for demonstration of consistent performance:

Competence in this unit must be assessed over a period of time in order to ensure consistency of performance over the Range Statement and contexts applicable to the work environment.

Delivery/assessment relationship to other units:

Prerequisite units:

FNSACCT506B Implement and maintain internal control procedures.

Assessment requirements

Method of assessment:

For valid and reliable assessment of this unit, evidence should be gathered through a range of methods to indicate consistent performance.

Assessment of this unit of competence will usually include observation of processes and procedures, oral and/or written questioning on underpinning knowledge and skills and other methods as required.

Context of assessment:

Assessment of performance requirements in this unit should be undertaken within the financial services industry context and should cover aspects of personal/financial responsibility and accountability.

Aspects of competency, including the attainment of relevant knowledge and skills, may be assessed in a relevant workplace, a closely simulated work environment, or other appropriate means that clearly meet industry competency requirements.

Resources required for assessment:

Assessment of this unit of competence requires access to suitable resources to demonstrate competence.

Assessment instruments, including personal planner and assessment record book.

Access to registered provider of assessment services.

Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assingnment, checklist) and due date here

Assessment task 1: [title]      Due date:

(add new lines for each of the assessment tasks)

Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

REQUIRED KNOWLEDGE&SKILLS

Knowledge requirements include:

testing procedures and methods of inquiry

principles of internal control (including statutory requirements)

current financial legislation (eg taxable transactions, reporting requirements)

duties and responsibilities of auditors

principles of auditing

current knowledge of relevant professional accounting standards

ethical considerations for management and handling of files and records (eg confidentiality, disclosure)

Skills requirements include:

interpersonal skills and communication skills (eg liaising, listening, consulting)

report writing and preparation

capacity to maintain confidences and operate with discretion

diagnostic skills for identifying problems and solutions

interpretation of legislation

recording, gathering and consolidating financial information

use computers, organisational accounting software systems, spreadsheet software systems and telecommunication devices

The Range Statement relates to the unit of competency as a whole. It allows for different work environments and situations that will affect performance.

The following variables may be present with training and assessment depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts. If bold italicised text is shown in Performance Criteria, details of the text are provided in the Range Statement.

Statutory requirements may include:

reporting periods

taxation payment timings

delegated authorities

internal control procedures

taxable transactions

Client objectives may include:

reduction in tax liabilities

financial consolidation

compliance adherence

asset development

administrative efficiency

Audit methodologies may include:

gathering and evaluating data

compliance and substantive testing

interpretation of compliance with statutory requirements

application of criteria from recognised authorities

examination of processes and procedures of internal control

analysis of documentation

assessment of commercial viability

valuation of assets

Data sources may include:

budgets and forecasts

financial statements and reports

market valuations

Australian Bureau of Statistics (ABS) economic data

financial markets monitoring services (eg Reuters)

credit ratings

cash flow

Audit lines of inquiry may include:

evaluation of achievement of accounting system objectives

assessment of objectives of internal control

accounting staff

management

specialist and expert advice

company officers

operation and strategic plans

Internal control procedures may include:

identification, measurement and recording of income, assets, expenditure, liabilities and equity

safeguarding and insurance of assets

decision making authorities

accuracy in valuations

transparency in financial reporting

risk management strategies

Established professional standards may include:

Australian Accounting Standards Board (AASB)

Australian Accounting Standards

Australian Auditing Standards

Auditing Guidance Statements

ethical requirements

Superannuation Industry (Supervision) (SIS) Act 1993

Testing procedures may include:

interviews with personnel concerning the performance of duties

observation of personnel

inspection of documentation for evidence of control procedures

reconstruction of accounting routines

achievement of debt repayment schedules

submission of statutory returns

Systems may include:

financial information systems

personal information systems

recording and filing systems

communication and distribution systems

data bases

decision making authorities

Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.

Observation Checklist

Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice Yes No Comments/feedback
Statutory requirements are identified from assessment of terms of reference and client objectives and obligations 
Client activities and procedures are reviewed and analysed to establish familiarity with systems and guide the selection of appropriate audit methodologies 
Audit methodologies are developed to identify significant features of the audit and establish criteria for conducting the audit in accordance with professional auditing standards 
Audit data sources are identified from evaluation of organisation's information systems 
Audit lines of inquiry are created to support audit objectives and reduce audit risk to an acceptable level 
Knowledge of the client is established from the economy, the industry and the client's business 
Client's inherent risk is assessed through value chain risk analysis 
Internal control procedures are identified through discussion with the client and established professional standards 
Audit methodologies use established sampling and selection techniques in a manner consistent with the internal control procedures and substantive testing 
Timeframes are established and personnel allocated to functions and tasks based on audit lines of inquiry 
Resource use is reviewed regularly and intermittent reports developed and monitored 
Resource allocations and timeframes are adjusted through discussion and agreement with the client and in accordance with professional accounting standards 
Resourcing needs and the allocation of personnel, time and equipment are assessed and identified within the scope of the audit methodology 
Significant strengths and weaknesses are identified in the controls and ranked in accordance to audit objectives 
Evidence on systems and controls under review is obtained and evaluated using established testing procedures and in accordance with criteria identified in audit methodology 
Management assertions are tested to achieve audit objectives 
Sufficient appropriate audit evidence has been gathered as a basis for an opinion 
Financial statements are verified as materially misstated or not 
Operational functions, services and systems are identified and documented in accordance with standard formats 
Format is consistent with documentation requirements of the auditor and professional auditing standards 
Audit opinions, including recommendations, are formulated and provided to the client in an established and acceptable format 

Forms

Assessment Cover Sheet

FNSACCT602B - Audit and report on financial systems and records
Assessment task 1: [title]

Student name:

Student ID:

I declare that the assessment tasks submitted for this unit are my own work.

Student signature:

Result: Competent Not yet competent

Feedback to student

 

 

 

 

 

 

 

 

Assessor name:

Signature:

Date:

Assessment Record Sheet

FNSACCT602B - Audit and report on financial systems and records

Student name:

Student ID:

Assessment task 1: [title] Result: Competent Not yet competent

(add lines for each task)

Feedback to student:

 

 

 

 

 

 

 

 

Overall assessment result: Competent Not yet competent

Assessor name:

Signature:

Date:

Student signature:

Date: