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ACC3AUD Auditing And Assurance

tag 0 Download 5 Pages / 1,116 Words tag 16-09-2021
  • Course Code: ACC3AUD
  • University: La Trobe University
    icon is not sponsored or endorsed by this college or university

  • Country: Australia


You are part of the audit team required to prepare a report to the senior partners of your auditing firm. This report will be used as part of the information provided to the audit team.

You and your colleagues have been assigned to prepare a report based on your research of Billabong International Limited (Billabong). Assume that this is the first time that the audit will be conducted by your audit firm, La Trobe Partners. The report must cover the areas detailed below. This will require extensive research and critical analysis of the annual reports and any other information that you have obtained.

In your report you must address the following issues:

1. Material misstatements

  •  Based on your ratio calculations and assessment of the client’s business and audit risks, identify 5 areas of risk of material misstatement in the financial statements.
  •  Explain why these particular areas are risky.

2.Going concern

  • Given the financial results and based on the information you have gathered, is there a potential going concern issue? Explain.

3. Social Responsibility

  • You have also been requested to research the company’s socialresponsibility information and provide a summary in your report. As part of the audit engagement, would you recommend an external assurance for the Sustainability Report? Explain.
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