Table of Contents
- Objectives of the report
- Audit process
- Test of controls
- Element's working business condition
- Analysis and Findings
In order to improve the theoretical knowledge it is essential to enter into the corporate world. Student can gain hands-on knowledge, experience of the practical and professional world in this place. For this purpose we are required to undertake an internship program in any kinds of operating organizations from where we can gather practical knowledge which is very effective for us.
So an internship is an effective way for an intern to prove the creditability of a preferred career option to pursue. As I have aimed to study Chartered Accountancy after completion of my post graduation, I choose A. Qasem & Co. to complete my internship program which is a well-known Chartered Accountancy firm in Bangladesh. In my MBA Program, the three months internship program creates the opportunity to gain practical knowledge on how an accounting firm actually operates.
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This internship program gave me a scope to observe and perform the audit through Canvas which is an audit tool. Canvas helps in every phase of the audit from audit plan to execution. It focuses on the key risk area of the audit, provides timely supervision and coaching, improves engagement management; improve team collaboration, personal connectivity and interaction with the clients. I was assigned as an audit student of A.Qasem and Co. was engaged for the audit of Philips Electronics Bnagladesh Ltd. and ACCA Bangladesh Ltd during my internship period. This report will brief my gathered practical experience in Canvas. This will give an overall idea about Canvas.
Objectives of the report
The purposes of this internship program are:
- To observe the EY Canvas working procedure in detail.
- To relate theoretical knowledge with practical work experience.
- To learn to work with an organizational environment.
- To be a successful employee, internship program helps to build up confidence.
- This program enables to have an overall idea about Canvas using for audit planning and execution.
- To find out SWOT Analysis of EY Canvas.
- Methodology of the report
For completion of my assigned report I have required diverse sort of data. Data is gathered from tow sort of sources
Primary sources are:-
Through working with audit group
Data additionally gathered by talking about with engagement partner, manager, assistant manager, review staffs and articled student.
Data gathered by meeting with clients.
Data gathered by observing during working period.
Secondary sources are:-
Data gathers from administration review report, accounting system and review working papers examined by A Qasem and Co.
Data collected from the diverse publications of the Institute of Chartered Accountants of Bangladesh (ICAB).
Data picked up from various record and books like Bangladesh Standards of Auditing (BSA).
Data accumulated from Internet.
Data accumulated from Audit Practice Manual (APM).
Services provided by A.Qasem and Co.
A.Qasem and Co. provides a wide range of high quality audit and accountancy services to its clients of different sectors in Bangladesh. It also provides services to international development agencies.
Services offered cover the following areas:
- Present and recent past clients
Our firm audits so many reputed company in Bangladesh as well as multinational company. Some of them are present here. There are so many other reputed company which are audited by A. Qasem and Co. Some present and recent past clients are given here:
- Uniliver Bnagladesh Ltd
- British American Tobacco Bangladesh
- Berger Paints Bangladesh Ltd
- Singer Bangladesh Ltd
- World Bank
- Audit Procedure
- General definition of audit process and procedure
Assessing is a urgent piece of the association's consistence effort. In case the survey coordinated fittingly, it will find the activities which may mishandle the administration or state laws and control or find the deficiency for the situation and settlement technique (Woolf).Audit furthermore serves to truly target and indentify the ampleness of the informational undertakings, guarantee that sensible medicinal moves have been made.
In the survey technique reviewer examine the client records wanders by steps successively. The review strategy may not relentless. It may move in light of the possibility of the survey duty, its objectives and kind of the pined for audit insistence which is has to get. The system include on indisputably understanding the picked client's condition, leading the audit limit and tests, informing the survey result, and conferring the results to intrigued people who are the partner of the customer.
Through the review methodology an examiner unite review supporting to substantiate the constancy of the accounting records. The inspector checks whether the information uncovered in lucid and sensible. Expect in case of settled assets, inspecting technique is settled assets check where affirm the settled assets nearness and whole, assembling free insistences from external social events, evaluating inside control structure, telling organization's activities and achieving organization depictions. The work paper addresses what has been done on the survey in A. Qasem and Co. furthermore, how the strategy changed in an automated stage called Canvas.
Audit process and procedures in Bangladesh
The Institute of Chartered Accountants of Bangladesh controls and deals with all review firm of Bangladesh. ICAB time to time has proposed and outfitted the firm with various subject concerning audit process and strategy. In the Audit Practice Manual dispersed by ICAB, provided guidance for review strategies that can be trailed by the review firm in Bangladesh
Audit process guided by Audit Practice Manual (APM) may be summarized as follows.
- Collecting evidence
- Controlling and recording
- Review and giving opinion
As an approach to help appropriately of arranging and ensure that consistence with BSA, the review practice manage presents documentation enabling a report of making arrangements to be kept up, demonstrating the strategy took after for each review and the intentions in that method.
Close to general documentation there should be a making arrangements update set out by methods for customer. Explanations behind those making arrangements are required by methods for BSA and would be a piece of the APM those individual stages need to not be had all the earmarks of being aggregately extraordinary, anyway part of a steady procedure of appraisal. It is much of the time sensible to show that expository assessment isn't as extensively utilized as it could be, particularly inside the reviews of littler gatherings. A couple of type of last logical assessment is ordinarily done in any case, by means of that level, it can be of direct use in guiding the review nearer to locales of criticalness. Assessment of risk and materiality
In the event of arranging technique, measure the hazard and materiality is exceptionally crucial assignments. According to BSA directing assessment of hazard chance is the point of convergence of the review technique. The approach saw in APM, review chance communicates with materiality and masses an incentive to choose test sizes
Scientific survey is imperative wellspring of review prove. We may discover the change of records contrast and earlier period which give more broad data for directing review. Scientific audit may include:
A preliminary analytical review
An extensive analytical review
A final analytical review
Test of controls
Contrast and old standard, BSA concentrates more on the customers interior control framework. In the old administration trial of interior control framework was completely discretionary. Be that as it may, if there should be an occurrence of BSA it is obligatory. Additionally examiner may test the viability of controls.
As it is required to comprehend the substance and its condition it is expected to assess the outline and usage of all controls required for the review.
For only enquiry as well as assess the outline and usage of the control framework. Report assessment or following exchanges through the frameworks is required.
It is compulsory to guarantee trial of operational adequacy of inward controls as it is critical undertaking in review method
Collection of audit evidence:
The review programs guided by Audit Practice Manual are more far reaching and intended to manage generally consequences. It is vital that the projects are intended to satisfy specific conditions of the customer.
What number of things to be test is a primary inquiry. It is an easy to refute issue. It is astute choice to configuration tests really pertinent to chosen customer not simply fill in the shape. Reach a valid conclusion to be shaped; example must be illustrative of the aggregate populace.
The adequacy of test sizes must be made by appropriate judgment. For appropriate judgment it is required to consider the inalienable hazard components, materiality and qualities of the populace.
Evaluation Of errors
Any mistake identified in the assessment of review tests must be evaluated to determine the effect on the example being tried and on the records all in all. In this circumstance inspector confront trouble in making this appraisal.
Controlling and recording
This part manages legitimate rule on the documentation procedure, the utilization of documentation and the manner by which the structures ought to be improved the situation the reason for all around recorded review document.
Assessment of risk
Review chance is exists in the provision of any review conclusion on the money related articulations. There are some reviews risk related with review supposition of the budgetary explanations. Components of assessment risk incorporate
Element's working business condition
Element's control frameworks task
Absence of appropriate review methodology, including examining hazard
General risk assessment
General risk basically related with the customer task inside the business and administrative condition. Business dangers and evaluation of the trustworthiness of administration likewise influence the general hazard. This general risk evaluation serves to estimating the general danger of review.
Specific risk assessment:
The special risk evaluation accomplishes a few destinations. Two principle goals are given beneath:
This risk appraisal can be utilized for the little organization to recognize the degree to which the general review program can be sworn off in a specific circumstance. This system just utilized as a part of unique circumstance, not just use with no legitimized reason.
It might be utilized to consolidated different risk evaluated.
Vouching the total population:
Small organization might be able to test the aggregate populace yet it isn't feasible for an extensive organization. For instance a little organization has 12 solicitations for multiyear then it might be conceivable to test every one of the solicitations. If there should arise an occurrence of a huge organization there might be thousand of solicitations. All things considered it isn't conceivable to test those solicitations. At the point when all solicitations are tried, general hazard appraisal should even now be considered on the grounds that all solicitations can't give all the reviews confirm that we require giving a sensible conclusion. Materiality
According to IASB data is material if its exclusion or error could impact the monetary choice of clients gone up against the premise of the money related proclamations. Materiality depends upon the extent of the thing or mistake measure in the particular circumstance of its exclusion or error. In the event of review, materiality gives a cut-off point which is imperative for the review reason.
Genuine and reasonable records must be free of material misquote. Thus estimation of materiality is an imperative factor in review technique. Review works influenced by materiality in two different ways. They are:
The nature and degree of the trial of detail halfway relies upon the materiality.
It helps the reviewer regardless of whether should look for modification for real and evaluated mistakes and for estimating the noteworthiness of zones of contradiction or judgmental issues.
It is dire to gather sufficient example and record in twofold section strategy which guarantees the exact account of the exchange. It furthermore checks regardless of whether the bookkeeping procedure used by the customer is correct or not anymore and the ramifications of the given diary. Bangladesh Auditing Standard likewise direct different process for recording the exchanges and there cure concerning selective occasions. On the off chance that we make certain moral issues pleasantly tended to, it can be conceivable to utilize review supporting coming about because of work completed in the planning of records.
Such bookkeeping exercises more likely than not been appropriately arranged with particular review objectives in the considerations, adequately controlled, recorded and considered to legitimate outline.
Review and opinion
This part manages review audits and supposition. How accomplices survey the aggregate review and go to a point, frame a feeling is talked about here. For checking on the general execution of the customer Audit Practice Manual proposes some rule which can be utilized. Some agenda can be as per the following:
- Review fruition
- Accomplice fruition
- Survey of review norms
- Survey of inward control frameworks
- Appropriately audit of records survey
- Review report support and so forth
Finding the solution about the survey check list is the principal errand of the examiner. Inadequate assessment about the customer can be drawn when the appropriate responses fulfilled the review group and customer. In the event that the appropriate responses don't fulfilled the review group and accomplice then they may assessment other than unfit feeling or may locate the coherent reason.
In each every review region a conclusion ought to be framed. It is imperative. The synopsis sheet be closed upon as well as for each principle test with in each region. The applicable working paper should state:
- The target of the tests
- The work done
- The outcomes acquired
- The conclusion shaped
Endorsement of accomplice is required if there is critical changes of the review approach before the work is initiated. In the event that we ensure this procedure then it enhances the effectiveness of the review. Else it decreases the general proficiency of the review.
- Final completion stage
- In the culmination organize there a few issues must be affirmed. This incorporates affirmation of :
- Detail data of work that has been completed in the review program.
- The review result has been appropriately recorded.
- Ensure that all required data has been assembled with the end goal of readiness of statutory records.
- The real issues as well as any minor issues ought to be featured.
- Alternative conclusion
On the off chance that there is elective conclusion, it must be obviously characterized with satisfactory clarification for that elective conclusion. The accomplice must be educated of that elective conclusion. Thought ought to be given to regardless of whether there is any extra review system that could be performed gone to a reasonable affirmation of the review goal to be given.
Analysis and Findings
What is Canvas
Canvas is an audit tool that very simple, scalable, flexible and consistent all over the world (Ernst and Younger, 2016). It helps to execute standard audit, from plan to execution. It especially focuses on risks and highlighted the risk and judgmental regions and actually linkage the audit efforts to risks. In case of audit engagement, Canvas improves the entire audit engagement procedure. It's far extra vital truth that Canvas offers real time information accurately about the audit procedure and issues. It is a shared online portal which helps to exchange prospective client requests and reveal the system. In case of organization audit management it enables integrated organization audit control. If we talk about the audit quality, it supports current quality initiatives.
Canvas ensures timely supervision and coaching. Because it presents area time data, it increases group collaboration and connectivity. It additionally improves the interaction with clients. The Using Combined Rask Assessment (CRA) summary Canvas can recognize key risk area. For significant risk it guarantees proper evaluation for audit plan. We can easily plan audit work using the audit plan and task list. From the progress indicator on Canvas dashboard it is very simple to find out the status of the audit program. From the finding hub we can monitor and review the findings.
Benefits of an online environment
If there arise any occurrence of CANVAS it is an online situation which serves to fixes bug rapidly and halfway. For this situation there not require noteworthy client mediation. Diminishment in information use or duty as information is put away on cloud halfway. Which will-
Lessen issue if there should arise an occurrence of correspondence and execution.
There not require client intercession for workspace reinforcement. Workspace will consequently backed up with no client mediation.
It limits the volume of information if there should be an occurrence of customer touchy data put away on client's machine and it specifically interface with documenting instrument which relocating usefulness.
Basic concept of Tasks
(Canvas dashboard and task management) For conducting an audit there is an audit procedure. When we conduct audit procedure through EY Canvas we categorize our total audit procedures in various task lists. There are some complex audit planning areas where EY Canvas provides step by step guidelines through the use of building tasks. In the picture we see that how to execute the build tasks. First need to formulate scope and strategy, then execute the strategy. The outcome of the strategy execution is the conclusion.