you have been approach by a potential new client to perform an audit of their comparative 2014 and 2015 year end financial statements. the company is based in Houston, Texas and it is in the crude oil discovery and delivery business. they currently have multiple oil pumping rigs and platforms across the country and in the Gulf. the company sales exceeded a billion dollars in the current year. collectively they have over a hundred billion in various types of fixed assets on their books, as well as a number of patents on the book relating to oil drilling process they have perfected. in addition to the typical industry style assets and liabilities, on their balance sheet, the company has recorded a significant contingent liability regarding EPA investigation into the prior period oil leak. the company also has disclose a significant oil reserves on their books. you has been elevated to a partner status in the firm. if the client is engage, you will be the managing partner on the job.

A- Describe the objectives and the actions that you will consider in determining if the firm should accept the engagement?

B- If engagement is accepted, identified what you believe are the greatest risks and how you might mitigate them?

C- list 5 audit procedures that you plan on applying in order to obtain evidence in any area and the appropriate assertion they relate too?