Awns Ltd (Awns) manufactures awnings which are attached to buildings and free-standing canopies to provide protection from the sun, wind and rain. Historically the company produced awnings and canopies for domestic use such as patio and door shelters. Three years ago, Awns launched a commercial range of awnings and canopies which include outdoor shelters for schools, retail outlets and, more recently, restaurants and bars that provide outside smoking areas. Awns has recently experienced an increase in demand for its products and has outgrown its current premises which are owned by the company. The management plans to sell these premises and move to larger premises which will be rented under an agreement which requires a rent review after two years. The directors have signed an agreement to take possession on 1 July 2023. The new premises will require modifications and the company will also need to acquire additional plant and equipment. The proceeds from the sale of the existing premises will be used to repay some of the company's existing borrowings. In order to cope with the increase in demand, the company is currently using subcontractors to supplement its own workforce. However, following the move to the new premises, the directors plan to recruit additional employees and to use subcontractors only in periods of high demand. The increase in demand has also resulted in the company carrying higher inventory, in particular the steel for the awning and canopy frameworks which is sourced from a supplier in India. The directors of Awns have been negotiating with the company's bankers in order to increase borrowings. In support of the request for funding, the directors have prepared profit forecasts, on the basis of assumptions they have made about the future operations of the business, for the three years ending 30 June 2026. The company's bankers require this information to be reviewed and reported on by independent accountants. The directors have requested that your firm undertakes this review. 3.1 In respect of the review of the forecasts, identify the matters to be included in your firm's letter of engagement relating to: (a) your firm's responsibilities (b) the level of assurance provided (c) limiting your firm's liability (7 marks) 3.2 From the information provided above, identify the specific matters you would consider when reviewing the assumptions underlying the income and expenditure included in the profit forecasts for the three years ending 30 June 2026. (13 marks)