Risk Assessment Module Introduction: 4. The risk assessment module focuses on several important assessment procedures. One of the main objectives of this module is to have you review and gain a better understanding of preliminary analytical dures. Through reviewing these documents, you will see real world audit workpapers and have the unity to assess the auditors' performance of the required procedures. In addition, you will be able sider Alpine Cupcake's overall financial statement risk and the account level risks as you review the workpapers. The audit workpapers also include audit documentation on the auditors' materiality calculations and overall risk assessment of inherent risk, control risk, and detection risk. Through this module, you will gain a better understanding of the auditors' considerations of client risk and how this assessment affects the audit. Learning Objectives: The goal of this module is to enable you to understand the auditors' audit planning and risk assessment procedures. After performance of the module, you will be able to: 1. Assess the auditors' documentation of their understanding of the client's environment, including its internal controls. 2. Review and evaluate the auditors' materiality threshold calculations, 3. Understand and apply the audit risk model. Review and evaluate the auditors' preliminary analytical procedures. 5. Evaluate the auditors' documentation of their risk assessment procedures. 6. Conduct research on auditing standards for audits of nonpublic companies. Assignment: Before beginning the assignment, take a moment to look through the papers in this module. Note in the lower left-hand corner that some documents are audit work papers created by Garcia and Foster CPAS as they conducted the audit. Note that other papers are client documents that Garcia and Foster collected and kept in support of their audit. Finally, note the numbering system in the lower right-hand corner of each page and how each paper within the audit is numbered and linked back to the audit program In this part of your assignment, you will examine the firm's audit documentation in relation to the auditors' performance on several risk assessment procedures. Please complete the following tasks: Q1. Research, cite, and summarize (in one or two sentences per standard identified) the auditing standards as they relate to the auditors' responsibilities in the following areas: a. Obtaining and documenting an understanding of the client's environment, including internal controls b. Materiality assessment in planning and performing the audit. The audit risk model. d. Preliminary analytical procedures. C