STATUTORY AUDIT

The course aims to contribute, through the analysis of the scopes and the contents of the audit activity, to the educational objectives of the “Administration Finance and Control” master's degree program. The purpose is to prepare graduates that master the issues related to the accounting representation of the management facts, the predisposition of the financial statement using the correct accounting principles and the correct and complete financial reporting.
This is a free choice course that provides the fundamental theoretical knowledge and practical directions necessary to carry out the function of statutory auditing of accounts in companies subject to these obligations. In particular, it analyses the objectives of the auditor and the statutory auditor in charge of the auditing function, the auditing standards (ISA), the procedures and operating methods used to carry out the activities, up to the formulation of an opinion on the financial statements. A particular insight will be dedicated to the auditing standards, which guide the auditor’s work. It will be also given an overview of the other assurance activities that an auditor may be called upon to perform.
In consideration of the continuous evolvement of the subject, the arguments and relative reference to the regulation, the practices and doctrines will be updated and illustrated during the lessons by the professor according to any new provisions that may come into force and the new indications of operational practice and doctrine.

The “Administration Finance and Control” students are asked to acquire a complete and exhaustive set of knowledge and comprehension skills in the corporate-management area with a particular focus on the accounting representation, on the financial statement reading ability, and the consciousness on the operative tools on support to the corporate decisions. Through this course, which sees in the analysis of controls in their whole, and in particular, in the one related to the administrative-accounting internal controls system, the base for the assessment on the audit risk, the student will complete his preparation on the themes of accounting, the financial statements, the phases of its approval and on the centrality of the opinion on the financial statements, also in relations with the various stakeholders.
At the end of the course the student will be able to know and comprehend:
1. The regulations applicable to the companies on the subject of audit requirements;
2. The audit goals and the auditor role (even for the assignments different from the audit one);
3. The evaluation of the internal control in the scope of the audit activity;
4. The risks at which the company is exposed (including the fraud risk) and the control risk for the auditor;
5. The audit statements applicable (ISA);
6. The business continuity and the central role for the auditor;
7. The formulation and the meaning behind the audit judgment.

Knowledge of general accounting, accounting principles, and legislation related to the preparation of the financial statements and the consolidated financial statements.
To take the Statutory Audit exam, it is mandatory to have passed the Business Administration exam.

The course will be divided as it follows:
1. Regulatory framework of audit obligations: recipients and actors, the Legislative Decree 39/2010;
2. The international audit principles applicable to the audit assignments and the other audit services;
3. Independence, acceptance, and maintenance of assignments;
4. The internal control system;
5. The assessment of business risks to determine the audit risk;
6. Determining the significance and carrying out the testing activities;
7. External confirmations and use of third-party work;
8. The process of reviewing the most critical areas of the financial statements;
9. The auditor's opinion on the financial statements and the assessment of the business continuity postulate

Standards and documents
1. “Decreto Legislativo 27 gennaio 2010, n. 39” - Consolidated text with the “Decreto Legislativo 17 Luglio 2016, n.135” – Implementation of the directive 2006/43/CE, on the audit of the annual accounts and the consolidated accounts, which modifies the directives 78/660/CEE and 83/349/CEE, and repeal the directive 84/253/CEE.
2. “Decreto Legislativo del 24 febbraio 1998, n.58 (TUF)”
3. “Direttiva n. 2006/43/CE modificata dalla Direttiva 2014/56/UE del 16 aprile 2014”
4. Regulation (UE) n. 537/2014 of the European Parlament and the European Council, of the 16th of April 2014 on the specific requirements related to the audit of public interest accounts and that repeal the European Commission decision 2005/909/CE
5. International Standards on Auditing (ISA Italia)
All the aforementioned documents are available at: https://www.revisionelegale.mef.gov.it/
The slides and the teaching material of deepening, concerning the practical cases covered and discussed during the lessons, will be provided to the students from time to time.
Texts:
1. ANTONELLA PORTALUPI – ERICA ROGHI - LEONARDO CADEDDU: “La revisione legale dei conti”, Il Sole 24 Ore Spa Milano 2021, ISBN 9788871874135
2. RICCARDO BAUER: “La revisione legale dei conti: tecniche e procedure”, Maggioli Editore 2020
3. VALERIO SIMIONATO: “La revisione legale del bilancio d’esercizio” Cafoscarina Editrice, Venezia 2016

The exam is in oral form and consists of the presentation and reasoned discussion of some topics (3/4) to evaluate the knowledge of both of the regulatory framework, both of the auditing principles, and the practical activity carried out.
A group-work will be proposed to the attending students (3 students for each group) in which the teacher will propose some practical cases and will ask for the elaboration of a possible audit program, the analysis of significant posts, and the elaboration of the audit opinion. The value of the group work will be 50% of the final grade.
The course attendance is suggested, both for the new evolutions in the regulations, both for the feature of the course, during which will be proposed and discussed some practical cases.

The teaching includes the following lesson methods during which both the technical and operational aspects of the activity will be illustrated:
1. Frontal lectures where practical cases will be proposed and discussed;
2. Lectures which consists in a direct confrontation professor-students;
3. Meetings to connect University and labor market with the participation of business executives and representatives of auditing firms (depending on the possibilities allowed by the provisions resulting from the Covid-19 pandemic).

Italian

During the first lesson it will be presented to the attending students the course in detail, the regulations and the textbooks, i twill also be presented the operating modes of the oral exam procedure.
To attend the “Statutory Audit” exam, it is advised the preparatory attendance of the following courses:
1. General and applied accounting
2. Financial statement and economic-financial analysis

oral

This subject deals with topics related to the macro-area "Circular economy, innovation, work" and contributes to the achievement of one or more goals of U. N. Agenda for Sustainable Development