Each group will select a listed public company from the ASX200.

Your group will identify the major audit risk areas (at least 2) for your selected company.

For each audit risk, you should:

explain the potential impact of the audit risk on the company's financial statements,and

detail the auditing procedures to verify the account balances impacted by the risk

In doing this you should use the concepts you have learnt from thisunitand your own research.

Important: you are the independent or external auditors of your selected company and your 'job' is to express an opinion onthe truth and fairness of the accounts or financial statements.Some business risks are material and relevant to the external audit. However,otherriskswouldNOTbe material from an external audit perspective, although these risks areimportantto an audit client. For example,shopliftingbycustomersin a retailcompanywould notbe material from an external audit perspective, although this risk isimportantto theretailcompany (the audit client). This is because this risk, to some extent, is not directly related to fraudulent financial reporting.Remember to link the risks back to the account balances you are expressing an opinion on.

Note: While you can do background research etc.,you shouldn't start writing this assignment until after week 3. By this time,you should have a better understanding of what auditing is,based on what you have learnt from the lectures andother learning materials.

Please follow this structure

A history and the organisational structure of the chosen company from ASX200;

A brief description to audited areas defining the objectives of audit, scope, a Material findings;

Obtaining evidences;

Factors affecting the scope of audit and underlying assumptions;

Opinion following the principles of AUS 702