Choose any ONE of the following eight companies as your target company:

1. Afterpay Limited 2. Amcor Plc 3. BHP Group 4. Commonwealth Bank of Australia 5. JB Hi Fi Limited 6. Qantas Airways Limited 7. Telstra Corporation Ltd 8. Woolworths Group

Download the latest Annual Report for these companies (some maybe provided in a separate file). Based on your selected companys annual report, the audit partner, Mr John Park, has advised you to prepare a planning memorandum which includes the following:

Required:

1. Describe the core business of the company, and explain how why gaining on understanding of the clients business is so important to auditor. 2. Identify four major business risks of the company and provide a detailed explanation of why each factor is identified as a risk to the business. 3. Results of analytical procedures: (1) You are required to prepare key financial ratio analysis from your selected companys Consolidated Financial statements: (Note: Include your workings in the Appendix). (2) You need to identify and explain which changes in the financial ratio analysis would trigger further investigation in the audit for the company. 4. Identify four inherent risks that you identify from business risk and analytical procedures in points 2 and 3. (Note: Business risks are not the same as inherent risks).

5. Identify a key account and a key related auditor assertion at risk of material misstatement based on the inherent risk you identify in point 4. (Note: Identify One key account and One key assertion for each of the four inherent risks identified in point 4). 6. Determine a number of methods the company can implement to overcome the high control risk. Assume the companys control risk is high.

(2,000 to 2,500 words)