Jenny has been asked to join the team responsible for designing the audit program for a new client, Sangekar Industries Ltd (Sangekar), a manufacturing and wholesaling firm. Sangekar recently went ‘public’ and is now listed on the Australian Securities Exchange. Jenny has worked for the audit firm for a year and received a very high performance rating from her supervisors on last year’s audit of Haddin Pty Ltd (Haddin), a firm that provides marketing and other consulting services. Sangekar and Haddin have total revenue of approximately the same amount, so Jenny feels confident that she can apply her knowledge to the new audit. She takes a copy of the audit program for Haddin along to the first meeting, intending to suggest they use it as the basis for the audit program for Sangekar. Jenny thinks that the Sangekar audit program could use the same substantive procedures they used on the Haddin audit.

Required

List some of the problems with Jenny’s idea of using Haddin’s audit program as a basis for designing substantive procedures for Sangekar.