Question: The audit team is preparing to audit a new client in the toy retail industry. The client imports items from manufacturers in several Asian countries

The audit team is preparing to audit a new client in the toy retail industry. The client imports items from manufacturers in several Asian countries and retails them in a chain of shops located throughout the country. You have access to the following information for the client:
• prior period financial reports
• anticipated results for the current year
• industry averages.

Required
Explain how you would use the information to understand your new client.

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To understand the new client in the toy retail industry the audit team should utilize the available information effectively Heres how each piece of information can be used Prior Period Financial Repor... View full answer

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