A Simulated Case for Audit Education.

Abstract The article presents a simulated case for audit education. Many of the concepts and ideas that are explored in an auditing course are not comprehended as well as they might be. As a means of easing this problem authors developed an experimental project which included case material in combination with detailed accounting records and complete sets of facsimile source documents for part of a hypothetical client's operations. The case material described the client's operations and accounting system. For the order filling and billing portion of the client's system, a complete set of accounting records and source documents were produced by computer simulation. Although the simulation that was developed may initially appear similar to the traditional audit practice case, they actually differ greatly in their objectives. The narrative description and the simulated documents included only the information which was believed necessary for the interim audit of the sales account and for evaluating the effect of the results of the sales audit on year-end procedures in accounts receivable and sales.