Several of Mr Abba staff recently completed a review of the internal controls at Expo Pty Ltd, a large proprietary company which is also an audit client. The work was charged at 120% of the usual consulting fees to partially recoup the lower audit fees brought about by a competitive tender. Audit staff implemented all the recommended changes in procedures by updating the companys accounting manual and running a two hour training session for the accounting staff. As the audit staff has already performed significant work on Expos internal controls, the audit manager has decided to assess control risk as low and not perform any tests of control. identify any professional standards and regulatory requirements which have been breached and explain the impact of the breaches.