1. Explain the role of auditors and their responsibilities in the provision of audits on the financial statements of companies. Support your explanations with appropriate references. (6 Marks)

2. Review the ethical and legal responsibilities of auditors in providing audit services and apply these principles to the Harris Scarfe case. Based on your research provide an opinion as to where the auditors would be held to be negligent in this case. (12 Marks)

3. Based on your research provide an assessment of weaknesses in Harris Scarfes internal control procedures and identify steps that should have been taken to minimise the threat of material misstatements. (12 Marks)