ACCA: Technical articles

This podcast explores different theories of job design and looks at the contributions of four different approaches. It covers theories of motivation, post-industrial job design, human relations and ethical issues of job design. These are all topics relevant to sections H2 (a), (b) and (c) of the Paper P3 Study Guide.

This podcast summarises the aims of Paper F6 and gives an overview on how the paper is structured, what marks are available for each question and which syllabus areas are most frequently examined.

Earnings management occurs when companies deliberately manipulate their revenues and/or expenses in order to inflate or deflate figures relating to profits and earnings per share. There is an increased risk of earnings management or even fraudulent financial reporting in companies affected by the global economic downturn. Auditors therefore need to conduct risk assessment and audit procedures carefully and may need to approach all companies’ financial statements with an increased degree of scepticism.

The significance of financial reporting standards in an audit of historical financial information cannot be over-emphasised. The Study Guide for Paper P7 contains a list of financial reporting matters which are examinable from the auditor’s point of view. Candidates can expect to be faced with at least one requirement, and most likely several requirements each sitting dealing with such matters. This podcast provides extra guidance in this area.

This podcast explores some of the issues relevant to forensic investigations. ‘Forensic auditing’ covers a broad spectrum of activities, with terminology not strictly defined in regulatory guidance. The work normally involves an investigation into the financial affairs of an entity, particularly when there is alleged fraudulent activity. Forensic accountants could also be asked to look into non-fraud situations, such as the settling of monetary disputes in relation to a business closure or matrimonial disputes under insurance claims.

Islamic finance has been a recent addition to the Paper P4 syllabus. This podcast provides an overview of the tenets of Islamic finance, and explores how it works in organisations, common Islamic financial products and Sharia boards. Questions on this area in the exam could focus on developments and understanding of Islamic finance as well as on the application of Islamic finance as an additional source of finance, and assessing its benefits and drawbacks, in different business scenarios and situations.

This podcast begins by considering the syllabus and overall aims of the paper, how it relates to previous papers and the format of the exam. It then gives advice on the examiner's approach to the paper, using suitable example questions from recent exams to illustrate points.

Ethics is a crucial and topical area for auditors and accountants and is constantly under scrutiny by both the industry and the press. For students, ethics feature as a key part of the entire ACCA professional syllabus and are examined in many ways in many papers. In Paper P7, Advanced Audit and Assurance, the ethical focus is on auditor behaviour and the rules and principles that auditors must abide by.

In June 2012 an Invitation to Comment was published by the IAASB, asking for feedback on a range of proposed changes to the structure and content of the auditor’s report, aiming to enhance its usefulness for decision making. In July 2013 an Exposure Draft was issued which specifies the revisions planned to be made to a suite of International Standards on Auditing (ISAs), changes that will mark a substantial change in the way that auditors report their findings. This podcast provides a summary of the main issues featured in the Invitation to Comment.

This podcast looks at the topic of assurance in the context of Paper P7, Advanced Audit and Assurance, describing a framework for the classification of assurance and non-assurance engagements, and giving guidance on the practical approach required when undertaking assurance assignments.