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CC57 Master of Professional Accounting For Analytical Procedures

Questions:

1. As an auditor, you are conducting your preliminary analytical procedures based on the background information for DIPL contained in the case.Apply analytical procedures to the financial report information of DIPL for the last three years. Explain how your results influence your planning decisions for the audit for the year ending 30 June 2015 
 
2.You are conducting your risk assessment of DIPL, as part of the planning for your audit for the year ended 30 June. Identify two inherent risk factors that arise from the nature of DIPL's business operations. Explain why it is a risk and how it may affect the risk of material misstatement in the financial report 

3. As part of your audit of DIPL for the year ended 30 June 2015, you are considering the risk that fraud may have occurred (a) Based on the background information for DIPL contained in the case, identify and explain two key fraud risk factors relating to misstatements arising from fraudulent financialreporting to which DIPL may be susceptible. (b) Explain how the risk factors identified in (a) above would affect the conduct of the (a) audit

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