Task 4: Investigating Unusual Trends in Revenue 1 2 3 4 5 Here is the background information on your task It is critical in audit to understand the purpose of risk assessment and how it changes the nature, timing and extent of substantive audit procedures. Not all areas of an audit are assessed equally - some, like revenue, have a higher risk of fraud, especially if there are managerial incentives, and this can materially affect the financial statements. KPMG utilizes various tools that help CPAs take a risk-based approach to select samples for testing. For example, we can use Power BI visualizations to find revenue trends that may not be immediately obvious and inconsistent with our understanding of the client. KPMG has visualized Evergreen's revenues below using a line graph within Power BI and identified a significant spike in revenue for the month of March. Now, this could be unusual for various reasons. Based on our understanding of Evergreen's operations, we know that there were no promotions in March to drive sales to increase and, historically, sales have been consistent month over month, except for December, when sales increased due to the holiday season