Graves, CPA has been asked to audit the financial statements of a publicly held company for the first time. All preliminary verbal discussions and inquiries among the CPA, the company, the previous auditor, and all other necessary parties have been completed. Graves is now preparing an engagement letter. REQUIRED: (1) (2) List the items that should be included in the typical engagement letter under the circumstances indicated in the problem. Describe the benefits the auditor obtains from preparing an engagement letter.