You are an Audit Trainee at CWF Assurance Services, and you are currently part ofthe audit team of Flicks Ltd$.$ Flicks Ltd is a new audit client of CWF AssuranceServices, and this is also the very first time that CWF Assurance Services will beconducting an audit in the pharmaceutical industry. The entity has a $31$ March $2024$financial year$-$end.Background information of Flicks LtdFlicks Ltd$,$ a pharmaceutical company listed on the Johannesburg Stock Exchange$($JSE$),$ maintains its headquarters in Cape Town and operates numerouspharmaceutical outlets throughout South Africa. The recent occurrences of loadshedding in the country have significantly disrupted the operations of Flicks Ltd$.$ Thisdisruption stems from the fact that not all of Flicks Ltd$.$s pharmaceutical outlets acrossSouth Africa are equipped with generators.Deepening the challenge is Flicks Ltd$.$s heavy reliance on sales to diabetic customers,constituting approximately $65\%$ of its total sales. These customers rely on insulinmedication that requires storage within refrigerated environments. Unfortunately, theload$-$shedding instances have led to the deterioration of insulin due to inadequaterefrigeration, rendering it unsuitable for sale. Consequently, Flicks Ltd hasexperienced a substantial decline in sales, plummeting to a mere $30\%$ of its usualsales figures. Annually, the management receives bonuses contingent upon thefinancial performance of Flicks Ltd$.,$ which is determined by Flicks Ltd$.$s revenue.In the $2024$ financial year, the Chief Financial Officer opted to transition to a newaccounting software due to the outdated accounting software that Flicks Ltd has beenusing for years. The new accounting software was deployed on $1$ August $2023.$ TheChief Financial Officer determined that formal training for the staff was unnecessary,as all accounting department members are Chartered Accountants. The ChiefFinancial Officer expressed confidence that the team would be skilled in navigatingthe new system independently.During the journal entry testing phase of the audit, it came to your attention that asubstantial number of revenue journals were recorded on $31$ March $2024.$ Uponinquiry, the Accountant revealed that the Financial Manager had specifically instructedthese revenue journals to be processed, which represented a departure from pastpractices. Upon further examination of the invoices, it was observed that most of theserevenue invoices were dated only in the following month of April $2024.$REQUIRED:$2\mathrm{.}1$ Explain what is meant by the risk of material misstatement at an assertion levelfor revenue?$(5$ marks$)2\mathrm{.}2$ Describe the risks of material misstatement at the revenue assertion level forFlicks Ltd for the financial year$-$ended $31$ March $2024.$ For each risk identified,describe the applicable assertion.Set your answer out in the following table:Description of the risk of materialmisstatement at the assertion level$(1$ Mark each$)$Assertion identified$(1$ Mark each$)$xxxx xxxx$(15$ marks$)$