A. Gita Rani Sdn Bhd (GR) is a plastic manufacturer, which operates from a large production facility, where it undertakes continuous production 24 hours a day, seven days a week. The companys production facility includes two warehouses, where the companys raw materials and finished goods are stored. GRs year end is 31 December. GR is finalizing the arrangements for the year-end inventory count, which is to be undertaken on 31 December 2019. The finished plastic bottle are stored in the first warehouse. The second warehouse is for storing large piles of raw materials, such as silicon, used in the manufacture of plastic. Required: For the audit of the inventory cycle and year-end inventory balance of GR Sdn Bhd: i. Describe four (4) audit procedures that could be carried out using computer-assisted audit techniques (CAATs) (4 Marks)

ii. Explain four (4) potential advantage and drawbacks of using CAATs. (10 Marks)

B. An audit client is in the process of creating an online web -based sales ordering system for customers to purchase products using online payment method. Identify three risks related to an online sales system that management should consider. For each risk identify an internal control that could be implemented to reduce that risk.(6 Marks)

C. Evaluate the risks associated with network systems and database systems to those associated with centralized IT functions. (5 Marks)