MAA705 – Trimester 2 2022

Assessment Task 1
Report – Individual

Due date and time: Friday, 12th August 2022, by 8:00 pm (AEST)
Percentage of final grade: 20%
Word count: 1500 words (excluding reference list)

Description:

On May 11, 1997, the impossible became reality — machines displayed intelligence superior
to the human brain. The then reigning world chess champion, Garry Kasparov, was defeated
by IBM’s supercomputer, Deep Blue, in a six-game chess match (The Conversation, 2017).
Since then, artificial intelligence has only improved.

$9 Billion — that is how much 3 of the Big 4 auditors are pledging on technology and artificial
intelligence (Bloomberg Tax, 2020). While traditionally done by a human specialist, one
promising area to use artificial intelligence on audit engagements is to harness those abilities
to synthesize vast amounts of data to evaluate complex accounting forecasts and estimates
(Commerford, Dennis, Joe, & Ulla, 2022). However, the benefits of artificial intelligence can
only accrue if people are willing to trust an algorithm (even after seeing the algorithm make a
mistake) and not abandon it in favour of an inferior human judge (Dietvorst, Simmons, &
Massey, 2015).

The jury is still out on the use of artificial intelligence in auditing and in this assignment, you
will be part of that important debate.

Requirements:

You are to write a professional report in which you:

• Define artificial intelligence.
• Discuss the benefits of using artificial intelligence in auditing.
• Discuss the limitations of using artificial intelligence in auditing.
• Discuss how algorithm aversion can limit the usefulness of artificial intelligence in
auditing.
• Discuss your view on whether audit firms should use artificial intelligence in their
audit work.

Although there is no specific structure for the report, consider the following structure/sections:
1. Introduction [consider providing a general discussion of the use of artificial intelligence
in auditing. You can provide a definition of artificial intelligence here; about 250
words].

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 2. The benefits of using artificial intelligence in auditing [providing research-based
evidence; about 350 words].
3. The limitations of using artificial intelligence in auditing [providing research-based
evidence; about 350 words].
4. Algorithm aversion and artificial intelligence [providing research-based evidence;
about 300 words].
5. Conclusion [a summary of the main points of the report and your thoughts about
whether audit firms should use artificial intelligence in their audit work; about 250
words].
6. List of references

Note: An executive summary and table of contents are not required.

Useful articles:

Bloomberg Tax. (2020). Big Four Invest Billions in Tech, Reshaping Their Identities.
Retrieved from https://news.bloombergtax.com/financial-accounting/big-four-invest-
billions-in-tech-reshaping-their-identities

Commerford, B., Dennis, S., Joe, J., & Ulla, J. (2022). Man versus machine: Complex
estimates and auditor reliance on artificial intelligence. Journal of Accounting
Research, 60(1), 171-201.

Dietvorst, B., Simmons, J., & Massey, C. (2015). Algorithm aversion: People erroneously
avoid algorithms after seeing them err. Journal of Experimental Psychology, 144(1),
114-126.

The Conversation. (2017). Twenty years on from Deep Blue vs Kasparov: How a chess
match started the big data revolution. Retrieved from
https://theconversation.com/twenty-years-on-from-deep-blue-vs-kasparov-how-a-
chess-match-started-the-big-data-revolution-76882

Omoteso, K. (2012). The application of artificial intelligence in auditing: Looking back to the
future. Expert Systems with Applications, 39(9), 8490-8495.

Russell, S and Norvig, P. (2010). Artificial Intelligence: A Modern Approach, 3rd Edition.
Retrieved from https://zoo.cs.yale.edu/classes/cs470/materials/aima2010.pdf

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Learning Outcomes:
This task allows you to demonstrate achievement towards the unit learning outcomes. The
ULOs are aligned with specific graduate learning outcomes – that is, the skills and knowledge
graduates are expected to have upon completion of their studies – and this assessment task is
an important tool in determining the achievement of those outcomes.

If you do not demonstrate achievement of the unit learning outcomes, you will not be successful
in this unit. It is good practice to familiarise yourself with the ULOs and GLOs as they provide
guidance on the knowledge, understanding and skills you’re expected to demonstrate upon
completion of the unit. In this way, they can be used to guide your study.

Unit Learning Outcomes (ULO) Graduate Learning Outcomes (GLO)

ULO 1: Explain and apply theories and GLO1: Discipline-specific knowledge and
regulations relating to financial and non- capabilities
financial audit and assurance services
ULO 4: Use professional and ethical GLO8: Global citizenship
judgment in applying relevant legal and
professional pronouncements to all stages of
a given assurance engagement.
ULO 5: Communicate and justify GLO2: Communication
accounting and auditing ideas in contexts
involving both accountants and non-
accountants.

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Submission:
You are to submit your assignment in the individual Assignment Dropbox in the MAA705
CloudDeakin unit site on or before the due date.

When uploading your assignment, name your document using the following syntax: Last
name_First name_Deakin student ID number_Unit code.docx.

For example, ‘Jones_Barry_123456789_MAA705.docx’.

Submitting a hard copy of this assignment is not required.

You must keep a backup copy of every assignment you submit until the marked assignment
has been returned to you. In the unlikely event that one of your assignments is misplaced, you
will need to submit your backup copy.

Any work you submit may be checked by electronic or other means for the purposes of
detecting collusion and/or plagiarism.

When you submit an assignment through your CloudDeakin unit site, you will receive an email
to your Deakin email address confirming that it has been submitted. You should check that you
can see your assignment in the Submissions view of the Assignment Dropbox folder after
upload, and check for, and keep, the email receipt for the submission.

Marking and feedback:

The marking rubric for this task is at the end of the document.

It is always a useful exercise to familiarise yourself with the criteria before completing any
assessment task. Criteria act as a boundary around the task and help identify what assessors are
looking for specifically in your submission. The criteria are drawn from the unit’s learning
outcomes ensuring they align with appropriate graduate attribute/s.

Identifying the standard you aim to achieve is also a useful strategy for success and to that end,
familiarising yourself with the descriptor for that standard is highly recommended.

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Students who submit their work by the due date will receive their marks and feedback on
CloudDeakin 15 working days after the submission date.

Extensions:
Extensions will only be granted for exceptional and/or unavoidable circumstances outside the
student’s control.

Students seeking an extension for an assignment prior to the due date should apply directly to
the Unit Chair by completing the Assignment and Online Test Extension Application Form.
Requests for extensions will not be considered after 12 noon, Wednesday 10th August 2022.

Applications for special consideration after the due date must be submitted via StudentConnect.

Late submission:
The following marking penalties will apply if you submit an assessment task after the due date
without an approved extension: 5% will be deducted from available marks for each day up to
five days, and work that is submitted more than five days after the due date will not be marked
and will receive 0% for the task.

'Day' means working day for paper submissions and calendar day for electronic submissions.
The Unit Chair may refuse to accept a late submission where it is unreasonable or impracticable
to assess the task after the due date.

Calculation of the late penalty is as follows:

1 day late: submitted after Friday 11:59 pm and before Saturday 11:59 pm– 5% penalty.
2 days late: submitted after Saturday 11:59 pm and before Sunday 11:59 pm – 10% penalty.
3 days late: submitted after Sunday 11:59 pm and before Monday 11:59 pm – 15% penalty.
4 days late: submitted after Monday 11:59 pm and before Tuesday 11:59 pm – 20% penalty.
5 days late: submitted after Tuesday 11:59 pm and before Wednesday 11:59 pm – 25% penalty.

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Support:
The Division of Student Life (see link below) provides all students with editing assistance.
Students who wish to take advantage of this service must be organised and plan ahead and
contact the Division of Student Life in order to schedule a booking, well in advance of the
due date of this assignment. https://www.deakin.edu.au/students/studying

Referencing:
Any material used in this assignment that is not your original work must be acknowledged as
such and appropriately referenced. You can find information about plagiarism and other
study support resources at the following website:
https://www.deakin.edu.au/students/studying/study-support/referencing

Academic misconduct:
For information about academic misconduct, special consideration, extensions, and
assessment feedback, please refer to the document Your rights and responsibilities as a
student in this Unit in the first folder next to the Unit Guide in the Resources area of the
CloudDeakin unit site.

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MAA705 Assessment Task 1 Rubric

Criteria Fail Fail Pass Credit Distinction High Distinction

1. Accuracy and depth No knowledge of audit Knowledge of audit and Rudimentary knowledge Accurate knowledge of The report is detailed, The report is
of knowledge of audit and assurance services assurance services of the theory and the theory and demonstrating deep authoritative and
and assurance services (theory or regulation) is (theory and regulation) regulation of auditing regulation of audit and knowledge of the theory thorough, demonstrating
regulation evident in the report. tends to be limited and assurance services assurance services of and regulation of audit sophisticated knowledge
and/or inaccurate. of either a financial or both a financial and and assurance services of the theory and
ULO1/GLO1 non-financial nature is non-financial nature. of both a financial and regulation of audit and
evident in the report. non-financial nature. assurance services of
40% both a financial and
non-financial nature.

2. Use professional and No professional and Professional and ethical Rudimentary The report demonstrates The report is detailed, The report demonstrates
ethical judgement ethical judgement is judgement tends to be professional and ethical professional and ethical demonstrating deep sophisticated
evident in the report. limited and/or judgement is evident in judgement. professional and ethical professional and ethical
ULO4/GLO8 inaccurate. the report. judgement. judgement.

30%

3. Communication and Communication is not Editing and Conventions of written The report is logically Ideas are communicated Ideas are communicated
justification of appropriate for the proofreading have not English are generally structured. Any errors in and justified clearly and clearly, concisely and
accounting and auditing audience: The formality been undertaken adhered to. Careful spelling, grammar and concisely. Information authoritatively.
ideas of the language used is sufficiently to ensure proofreading has meant punctuation do not drawn on to support the Justifications are
inappropriate; the report is clear and the elimination of most detract from the quality ideas is current, relevant insightful and supported
ULO5/GLO2 inadequate attention has accurately typographical and of the work. The and accurate. Harvard by wide reading from a
been paid to sentence communicated. The spelling errors. The importance of referencing conventions range of appropriate
30% structure and the tone of the report may work is original and referencing and are used correctly. The literature. Harvard
conventions of written be inappropriate for the relevant literature has acknowledging others’ structure, clarity and referencing conventions
English; use of audience. Accounting informed the accounting ideas is clearly evident cohesion of the report are used correctly. The
discipline-specific and auditing ideas are and auditing ideas in the report. demonstrates structure, clarity and
terminology is not used not clearly justified for which are clearly Referencing conforms professional cohesion of the report
correctly; and meaning contexts involving justified. to the Harvard style. communication skills. demonstrates highly
is not clearly accountants and non- The justification of professional
communicated. The accountants. accounting and auditing communication skills.
ideas are not justified. ideas is cogent and
based on relevant and
current literature.