Auditing and Internal Controls: Singapore Airlines Analysis Report

This report provides an overview of auditing and internal controls, exploring key concepts and standards. It delves into the International Standard on Auditing (ISA), outlining the responsibilities and objectives of auditors in assessing and managing the risk of material misstatement in financial records. The report also examines the role of the Institute of Internal Auditors (IIA) in advancing the internal audit profession. Furthermore, it discusses the Control Self-Assessment (CSA) process and its application. A significant portion of the report is dedicated to a case study of Singapore Airlines Limited, analyzing its adherence to internal control policies, governance, and risk management systems, highlighting the airline's commitment to maintaining high standards of corporate governance. The report concludes by summarizing the key findings and reiterating the importance of robust internal controls for effective financial reporting and organizational success.

Running head: AUDITING
Auditing
Name of Student:
Name of University:
Author’s Note:

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Table of Contents
Introduction......................................................................................................................................2
Technical Literature of ISA.............................................................................................................2
Institute of Internal Auditors (IIA)..................................................................................................4
The Control Self Assessment (CSA)...............................................................................................5
Achieving business results in Singapore Airlines Limited..............................................................5
Conclusion.......................................................................................................................................6
References........................................................................................................................................8

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Introduction
The different types of the considerations for the internal controls are seen to be based on
the several types of the evaluation which has been able to state on the specific assumption of
accounting and auditing process which has a relevance to assure the objectives of the
organization in terms of the operational effectiveness and efficiency. The application of
compliance and law along with the relevant policies is seen to be an important part of the
application of the internal control on the process of auditing. A more holistic consideration of the
internal control has been further applied with consideration of the control risk factors. The
internal control adherence has been further discussed with the technical literature such as ISA’s
and other regulatory references. The company chosen to evaluate the adherence to the policies of
the internal control has been further seen with Singapore Airlines Limited (Regoliosi & d’Eri,
2014).
Technical Literature of ISA
The different types of the scope of “International Standard on Auditing (ISA)” have been
seen to be dealing with the responsibility for the recognition and measurement of the risk of
material misstatement in the financial records. This has been further based on the assessment of
accepting of the environment and entity’s internal control. The date of implementation of ISA
has been further seen to be effective from the December 15, 2009. The main objective of the
auditor is identified with the identification and the assessment of the risk of the material
misstatement due to the material misstatements in the financial statement and assertion levels
with the understanding of the entity and the environment. The entity’s internal control has been

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further seen to be designed as per the implementation of the responses which has been assessed
as per the material misstatement (Rikhardsson & Dull, 2016).
The main purpose of the attributes of ISA has been further seen to be base on the various
types of the assumptions which has been seen to be associated to the assertions, business risk
internal control, procedure for risk assessment and significant procedures. Among the different
type of the attribute under the Isa the ain consideration for the internal control has been further
seen to be associated to designed, implementation and the maintenance of the governance,
management decisions and the other personnel for providing a reasonable assurance, which has
been seen to be based on the accomplishment of the entity’s objectives in addition to the
reliability, effectiveness and efficiency of the financial reporting. ISA has been further able to
consider the different types of the decision which has been seen to be associated complaisance
and applicable legislations (Schroeder & Shepardson, 2016).
The entity’s internal control has been taken into account as per the understanding of the
various type of the process who has are seen to be based on the internal control which is seen to
be relevant to the audit process. Most of the audit process under the internal control has been
further seen to be associated to the financial reporting which is relevant to the overall audit
process. Some of the main form of the components of internal control has been further associated
with control environment (Mihret, 2014). In this particular aspect the auditor will be able to
identify the various types of the measures which have been seen to be associated to the adoption
the different types the measures for evaluating whether management will have the oversight of
charging thee governance and maintain an appropriate culture with honesty and ethical
behaviour. Some of the various types of the consideration of the internal control, has been further
seen to be based on the strength and the procedures conducive to the control environment and the

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different type the other elements which has been seen to be related to the consideration of the
appropriate foundation of the components of the internal controls (Al-Akra et al., 2016). It also
assures whether thee consideration of the various types of the internal control has been further
able to provide the components undermined with the deficiencies of the internal control. As per
the entity’s internal controls, auditor will be able to understand the various types of the aspects of
the internal control which has been seen to be relevant with the audit process and related to the
overall financial reporting of the data, it has been further seen with internal control method
which has been seen with various types of the matters which relate to the auditor’s professional
judgement and the combination of the various type the other methods which has been seen to be
having the relevance of other audit procedure (Zaman & Sarens, 2013).
Institute of Internal Auditors (IIA)
“The Institute of Internal Auditors (IIA)” Singapore is considered with specialized
organisation dedicated with the advancement and development of the internal audit profession.
The main establishment of this has been seen to done in the year 1976, with the member of IIA
Singapore as per the international community of 180000 professionals in more than 170
countries and territories are further seen to share a common vision for the advancement in the
professional growth in the internal and the value addition process which has been further seen to
be based on the depiction mainly related to the accounting, governance, compliance, security,
information technology audit and internal control. The main mission of IIA Singapore’s mission
has been discerned in terms of depicting the different types of the internal control measure which
has been seen to be associated to the consideration of the advancement of the values to the
organisations. The vision of the authority and the internal audit professional has been considered
as indispensible with the effective governance, control and risk management (Mohamud, 2013).

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The Control Self Assessment (CSA)
The only consideration for IIA Singapore can be applied with the “Certification in
Control Self-Assessment (CCMS)”. The first time user of CCMS has been able to see with the
requirement of creating profile in CCMS. The visit in the forms section has been further seen to
be based on the various types of the consideration which has been seen to be associated to the
creation of new profile in CCMS. This has been further seen with the visiting of the forms
section and selection of the application as per the choice. The main consideration of the CCSA
deals with the topics such as business objectives, risk controls and fundamental processes (Leng
& Zhang, 2014).
Achieving business results in Singapore Airlines Limited
It has been discerned that Singapore Airlines Board has been committed with continuous
enhancing of the shareholder value by maintenance of standard of corporate governance, strong
“internal control and risk management systems”.
The various types of the internal controls and the internal audit of the SIA are seen to be
independent department with the report directly to the Audit committee. The internal control has
been further based on the regular evaluations of the SIA group’s internal audit based on the
members of the Singapore chapter as per the internal auditors and meet the various types of the
standards as per the professional practice set by Internal Auditing set by the IIA.s The control of
the “self assessment (CSA) programme” has been established in FY 2003-2004 (Davidson et al.,
2013). This has been provided with the management to obtain the various types of the assurance
which has been seen to be associated with the operating department’s management to review and
per annum on the adequacy of the units control environment. It has been further seen with

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various types the internal audit is seen to be performed with the various types of the
consideration of the independent and the random review during a particular year to validate the
results of self assessment (Church & Schneider, 2016). The governance of the company has been
seen to be co0ntinually maintaining of high standards related to high standards of CG practices
along with various types of the professionalism, integrity, commitment level. This has been
further seen to be underpinned by risk management system along with internal controls (Moeller,
2015).
Conclusion
(ISA)” have been seen to be dealing with the responsibility for the recognition and
assessment of the risk of financial records. This has been further based on the assessment of
understanding of the environment and entity’s internal control. The date of implementation of
ISA has been further seen to be effective from the December 15, 2009. Internal control has been
taken into account as per the understanding of the various type of the process who has are seen to
be based on the internal control which is seen to be relevant to the audit process. Most of the
audit process under the internal control has been further seen to be associated to the financial
reporting which is relevant to the overall audit process. Some of the main form of the
components of internal control has been further associated with control environment. “The
Institute of Internal Auditors (IIA)” Singapore is considered with qualified organisation
dedicated with the advancement and development of the internal audit profession. The main
establishment of this has been seen to done in the year 1976, with the members of IIA Singapore
as per the global community of 180000 professionals in more than 170 countries and territories
are further seen to share a common vision for the advancement in the professional growth in the
internal and the value addition process which has been further seen to be based on the depiction

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mainly related to the accounting, governance, compliance, security, information technology audit
and internal control.

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References
Al-Akra, M., Abdel-Qader, W., & Billah, M. (2016). Internal auditing in the Middle East and
North Africa: A literature review. Journal of International Accounting, Auditing and
Taxation, 26, 13–27. https://doi.org/10.1016/j.intaccaudtax.2016.02.004
Church, B. K., & Schneider, A. (2016). The Impact of Section 302 and 404(b) Internal Control
Disclosures on Prospective Investors’ Judgments and Decisions: An Experimental Study.
International Journal of Auditing, 20(2), 175–185. https://doi.org/10.1111/ijau.12065
Davidson, B. I., Desai, N. K., & Gerard, G. J. (2013). The Effect of Continuous Auditing on the
Relationship between Internal Audit Sourcing and the External Auditor’s Reliance on the
Internal Audit Function. Journal of Information Systems, 27(1), 41–59.
https://doi.org/10.2308/isys-50430
Leng, J., & Zhang, L. (2014). Research and Discussing on Internal Control Auditing. Research
and Discussing on Internal Control Auditing. Modern Economy, 5(5), 785–790.
https://doi.org/10.4236/me.2014.57072
Mihret, D. G. (2014). How can we explain internal auditing? The inadequacy of agency theory
and a labor process alternative. Critical Perspectives on Accounting, 25(8), 771–782.
https://doi.org/10.1016/j.cpa.2014.01.003
Moeller, R. R. (2015). Sarbanes-Oxley Internal Controls: Effective Auditing with AS5, CobiT,
and ITIL. Sarbanes-Oxley Internal Controls: Effective Auditing with AS5, CobiT, and ITIL.
https://doi.org/10.1002/9781119197119

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Mohamud, H. A. (2013). Internal Auditing Practices and Internal Control System in Somali
Remittance Firms. International Journal of Business and Social Science, 4(4), 165–172.
https://doi.org/10.1108/02686900510619683
Regoliosi, C., & d’Eri, A. (2014). “Good” corporate governance and the quality of internal
auditing departments in Italian listed firms. An exploratory investigation in Italian listed
firms. Journal of Management and Governance, 18(3), 891–920.
https://doi.org/10.1007/s10997-012-9254-1
Rikhardsson, P., & Dull, R. (2016). An exploratory study of the adoption, application and
impacts of continuous auditing technologies in small businesses. International Journal of
Accounting Information Systems, 20, 26–37. https://doi.org/10.1016/j.accinf.2016.01.003
Schroeder, J. H., & Shepardson, M. L. (2016). Do SOX 404 control audits and management
assessments improve overall internal control system quality? In Accounting Review (Vol.
91, pp. 1513–1541). https://doi.org/10.2308/accr-51360
Zaman, M., & Sarens, G. (2013). Informal interactions between audit committees and internal
audit functions. Managerial Auditing Journal, 28(6), 495–515.
https://doi.org/10.1108/02686901311329892