CASE STUDY

You are a part of the team responsible for planning the Land & Homes Group (ASX code LHM), a property development company, audit engagement for 2020. You are required to gather relevant background information and prepare a report for a meeting with your audit seniors. Assume that this is the first time that the audit will be conducted by your audit firm for this client. Your report must address the following issues:

QUESTIONS

1) What do you consider to be the three major business risks associated with the current years audit? Explain. (300 WORDS)

2) Based on your risk analysis and understanding of LHM and its environment, list and explain three accounts that could be at risk of material misstatements. You also need to

identify the key assertion at risk for each identified account. (350 WORDS)

ANSWER SHOULD BE RELATED TO Land & Homes Group (LMS) DO GIVE GENERAL ANSWER