KNOWLEDGE AND UNDERSTANDING:
To know of the basics of the statutory audit of corporations under Italian law. To know the content of the audit report.
To know some rules of ISA-Italy standards and EU regulations.
To understand the importance of the standards on financial reporting and its control (audit) for the confidence of capital markets. To understand the difference between different audit risks.
To understand the limitations of the auditor's work.
To understand the practical application of theoretical concepts through lectures by business experts and reading sample audit reports.
ABILITY TO APPLY KNOWLEDGE AND UNDERSTANDING:
To know how to read and understand an example of an audit report.
INDEPENDENCE OF JUDGMENT
To know how to make judgments about situations posed by the lecturer in which a decision needs to be made.
COMMUNICATION SKILLS.
To be able to express concepts using technical language.
To be able to express concepts by demonstrating personal ability to revise.
LEARNING SKILLS.
To know how to abstract concepts from concrete cases presented.

PROPAEDEUTICITIES:
It is strongly recommended to have taken Economia Aziendale and Ragioneria Generale Applicata exams.
PREREQUISITES:
Students should be familiar with the basic concepts of general accounting and financial reporting.
Knowledge of basic business law concepts makes it easier to understand the content of this course.
In the first few lectures, however, a quick summary of the rules of accounting will be given.

Part I: Introduction to the financial statements framework.
1. The content of the financial statements, the classification and form of the financial statements and the evaluation criteria. Accounting unification, accounting harmonization and accounting standardization. References to the legislation: the artt. 2423-2428, Italian Civil Code; art. 154-ter L. 58/1998 (TUF). EU Directive 2013/34/EU 13 and D.Lgs. 139/2015.
2. Notes on domestic accounting standards (OIC). The international accounting standards by IASB (IAS and IFRS). The IAS/IFRS Framework. D.Lgs. 38/2005, artt. 1, 4-6.
3. Notes on auditors and “collegio sindacale”. The case of unlisted companies: artt. 2403, 2407-2409 bis, Italian Civil Code. The case of listed companies: L. 58/1998 (TUF), artt. 148-154-bis.
4. Introduction to the going concern issue.
Part II: auditing in Italy – “revisione legale”.
1. The object/players of the audit, the purposes and the audit context; different types of audit. "Public interest entities" (EIP) (art. 16, D.Lgs. 39/2010) and "bodies subject to intermediate regime" (art. 19-bis D.Lgs. 39/2010).
2. The succession over time of the main regulatory sources.
3. The Italian Register of statutory independent auditors.
4. Carrying out the statutory audit according to the D.Lgs. 39/2010.
Part III: how does an independent auditor work.
1. The auditing principles (art. 11 Legislative Decree 39/10). Italian principles issued by professional associations, ISA by IAASB of the IFAC. The “ISA Italia” by the Italian Ministry of Finance (XII/2014).
2. The audit reports and their content (art. 14 Legislative Decree 39/10, art. 10 Reg. 537/2014, ISA 700-706 and previous art. 156 TUF). The species of judgment. Findings, uncertainties and information points. The "additional report" pursuant to art. 11 Reg. 537/2014.
3. Notes on the supervision of the statutory audit mandates of Consob and the MEF (art. 20-23, D.Lgs. 39/2010) and on administrative sanctions (art. 24-26-ter, D. Lgs. 39/2010 39/10 and art. 162 of TUF).
4. Notes on the auditor's responsibility and independence.

The recommended textbook is La revisione del bilancio by G. D'Onza and L. Marchi, Giappichelli, in the latest version available. Additional texts that can be consulted are La revisione del bilancio by F. Bava, Giuffrè, and Revisione aziendale e sistemi di controllo interno by L. Marchi, Giuffrè. Relevant legislation is available online.

Lectures by the professor.
Lectures by business experts and testimonials.
Discussion of examples of audit reports.

ORAL EXAMINATION.
Open-ended questions. Students are required to have understood the concepts and not merely memorized them. To check the level of understanding they may be asked to solve some simple problems.
The average duration of the exam is about 25-30 minutes. The exam covers the entire course syllabus.