You are the audit manager of Chin Boh Eng \& Associates, a firm of Chartered Accountants. Your audit partner, Mr Chin, asked you to arrange a meeting with the directors of a potential client, Holborn Pte Ltd, to discuss on the possibility of appointing the firm as the auditor for the financial year that just ended on 30 September 2022. Holborn was incorporated in October 2021, using a bank loan for the financing of the business. Revenue for the first year of trading is $950,000, and there are hopes of rapid growth in the next few years. The business retails luxury handmade wooden furniture, and is currently located in a single retail outlet. The two directors (who also own all of the shares in Holborn) are aware that due to the small size of the company, the financial statements do not have to be subject to annual external audit, but they are unsure whether there would be any benefit in a voluntary audit of the first year financial statements. The directors are also aware that a review of the financial statements could be performed as an alternative to a full audit. Holborn Pte Ltd currently employs a part-time, part-qualified accountant, Soo Kah Leow, who has prepared a year-end balance sheet and a profit and loss statement, and who also produces summary management accounts every three months. Required: a) Describe the potential benefits for Holborn Pte Ltd in choosing to have a financial statement audit. (10 marks) b) With specific reference to Holborn Pte Ltd, discuss the objective of a review engagement and contrast the level of assurance provided with that provided in an audit of financial statements. (10 marks)