1. You are planning the audit of Mazoon LLC for the year. At your planning meeting with the finance director, the following matter was identified as significant:

The managing director has announced his intention to sell his 100% holding of shares in Mazoon LLC in order to concentrate on his other business interests which include a majority shareholding in Garden Ltd, a company which operates a chain of garden centers. Negotiations are underway with a potential buyer for his shares in Mazoon LLC and he would like the audited accounts to be available by the end of the month.

You are required to Identify the key audit risks involved and list the factors which have led you to identify that risk.