Company: Bath & Body Works

INTRODUCTION AND PROJECT REQUIREMENTS: The objective of this project is to provide you with an opportunity to assess the business risks and perform analytical procedures for a real-world company. The project focuses on the following categories of information related to the understanding the entity and its environment:

• Nature of the Entity
• Industry, Regulatory, and External Factors
• Objectives Strategies, and Business Risks
• Entity Performance Measures and Monitoring
• Management
• Governance

ASSESSING BUSNESS RISKS: Assume that you are an audit manager of the CPA firm assigned to the audit your selected company. Attached is a questionnaire (Word template) that is to be used for assessing and documenting your selected companys business risks. In completing the questionnaire, you need to attempt to answer each question and then determine the possible effect(s) on the audit of your company. There may be some questions that you will not be able to answer. If after exhausting all available resources, you cannot answer a question, respond information not available. Be sure to indicate the possible effects on the audit for each question. Blank responses receive zero credit.

Information needed to identify the business risks can be obtained from the companys annual report, FORM 10K, and proxy materials. Typically, these documents can be obtained from the companys website. The companys website also contains information on the audit committee (e.g., charter), internal audit function, and corporate ethics (e.g., conflict of interest policies). You should also consider obtaining a financial analysts report on the assigned company. If you cannot find a free analysts report, contact your instructor for assistance. Do not pay for one.