An assurance engagement, whether it be an audit or a review, has five elements. The first of these is the "three party relationship", and the second is the "subject matter". Propcorp (Pty) Ltd owns a large shopping mall. Premises in the mall are rented out. The amount which shopowners pay as rent consists of a basic amount and a percentage of the shops' monthly turnover calculated according to the terms and conditions in their rental agreements. To satisfy itself that shopowners are paying the correct amount of rent, Propcorp (Pty) Ltd has engaged Hendricks and Co, a firm of registered auditors to perform an audit on the financial information (e.g. monthly turnover figures) provided by the shopowners in support of their monthly rental payments. In terms of the rental agreement, shopowners must allow Hendricks and Co access to their accounting records. YOU ARE REQUIRED TO, in terms of the example given above a) i. identify the three parties in this assurance engagement (3) ii. describe the subject matter (1) iii. identify and explain the other three elements of the assurance engagement. (6) b) discuss the importance of the clause in the rental agreement which allows Hendricks and Co access to the accounting records of the shopowners. (3)