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BAO5524 Professional Auditing For Legal And Other Considerations

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Questions:

You are required to:
a) Draft an audit planning memorandum highlighting:
i) the legal and other considerations that need to be considered by your firm as the new auditor of SBL;
ii) the major risk areas to be addressed in the audit of the SBL Ltd for the year ended 31 December, 2018. Give reasons why the identified areas are considered to be high risk.
 
Support your answer by calculation of appropriate ratios and/or comparisons. The use of Microsoft Excel to calculate ratios is encouraged.
b) Outline the six audit procedures for any six of the risk areas identified in (a).
c) Use the Active Data for Excel as a CAAT to analyse the transactions of XYZ on 29 February, 2018. Following documentation must be provided:
all Active Data sheets generated,
A report summarizing the analyses and their implications for the audit.
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