Assume that you are the engagement manager conducting the financial statement audit of your selected company. You are required to prepare a planning memorandum. The planning memo paper is due by the beginning of class Week 11. This assignment is worth 15% of the course grade
You can assume that the financial statements included in the annual report are not yet audited and you are responsible for planning the audit of these statements.
Use the information provided in the company’s Annual Report and other publicly documents relevant to your planning process. State any assumptions you find it necessary to make. You are not to contact the organization or interview people for this project. You also should not contact the actual auditors as they will need to keep all the client information confidential.
The memo should be no more than fifteen (15) pages in length using normal margins and a font size no less than 10 and larger than 12.
Use www.sedar.com to select a company and access financial statements.
The memo should include (but not limited to):
· Business information;
· Risk assessment;
· Review of risk areas;
· Approach;
· Staffing and time budget;
· Materiality;
· Preliminary analytics; and
· Suggested Procedures
