Ms. Kareema graduated from prestigious university from U.S. with a degree of Finance in Mastrer. She does not have any work experience but he got the managerial position in the company due to he is related to the owner of the company. While approving the final financial report of the company he did not follow the proper procedure of reviewing it and just relying on the report. Submitted by his junior accountant as a result there are many errors in the books of account. This lead to the process of the company based on the above scenario he is adamant to admit his mistakes. They ABC audit firm to verify the accuracy of the financial report approved by Ms. Kareema, 

1. Explain the standardized auditing rules and regulations that ABC will use.

2. If you were the owner of the company how would you explain the situation to Ms. Kareema without damaging his pride and ego.