Auditing Receivables at Affiliated International University (AIU)

• In Event: Teaching, Learning, and Curriculum 5

Abstract

This is a teaching case for auditing receivables. It involves Affiliated International University (AIU), a private and chartered University in a developing country. The case focuses on the practice of auditing receivables rather than problem solving. The case covers the planning phase, evidence gathering, and testing phases in receivables audit. Due to its setting, the case presents an environment that is not common place in the developed world. Of particular interest is that the organization uses more than one system to collect and report data. Furthermore, students are allowed to continue with classes to the last day of classes as they raise their fee balances which can be settled by direct payments, loans, or scholarships which are channeled through the University. The audit process is explained from the voice of the client in a meeting dialogue in which the senior staffs in finance department review the entire audit process. The case presents insightful student discussion questions and a detailed instructor’s manual.

Authors

• Henry Mburu, Morgan State University

• Nathan K Austin, Morgan State University