(a) Non-statutory Audit

The Marketing Department of Low Pro Motion Berhad has been consistently showing below budgeted performance whereas the marketing cost of the department keeps increasing over the years. The management believes that since the marketing department is on the regular radar of the CFO, an audit might result in employee hostility. Furthermore, an operational audit of the marketing department was done two years back. However, the recommendations of the previous audit were not followed by the concerned employees in the Marketing Department.

Required

1(a)(i) Is the one-time operational audit performed two years ago adequate?

1(a)(ii) Advise the management if another operational audit is the way forward and ways to deal with the employee hostility.