Ahmad sells frozen curry puffs made wife. Each week he shops at a local market and grocery store for ingredients and raw material for his product. His wife prepares the product from scratch and stores the raw product frozen; ready for distribution or sale. Ahmad's daughter keeps a record of the expenditure, as well as the accounts for purchases and sales. At the end of each financial vear, Ahmad pays taxes on his income.

Required:

(a) Discuss the type of audit necessary for Ahmad's business. Why?

(b) Ahmad wants to expand his business and intends to apply for a bank loan. Give him some advice on the financial matters pertaining to this expansion plan