1.  Audit manager From: Cavone Brown 
2. Subject: Browns Group Audit Planning Date: 1 July 2015. you need  to begin planning the audit of the Browns Group (the Group) for the year ended 31 May 215. It would have been brought to your attention that we have been appointed to audit the Group financial statements, and we have also been appointed to audit the financial statements of the parent company and all subsidiaries of the Group except for a foreign subsidiary, Pennington Co, which is audited by a local firm, Davis & Co. All components of the Group have the same year end of 31 May, report under IFRSⓇ Standards and in the same currency. Using the information, you have been provided with, you are required to prepare briefing notes for my use, in which you are expected to:
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4. (a) Evaluate the audit risks to be considered in planning the audit of the Group. Your evaluation should incorporate analytical procedures aimed at identifying relevant audit risks. 
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6.  (b) Explain the matters to be considered, and the procedures to be performed, in respect of planning to use the work of Davis & Co. 
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8.  (c) Design the principal audit procedures to be performed in respect of the following balances recognized as non-current assets in the Group statement of financial position: (i) $12 million recognized as an investment in an associate, and (ii) $8 million recognized as a brand name ethical
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10. (d) Using the information provided in the meeting notes , identify and evaluate any threats and other professional issues which arise from the requests made by the Group audit committee.  

Answer rating: 100% (QA)

a Evaluation of Audit Risks i Industry and Economic Risks Consider the industry the Group operates in economic conditions and market trends If the ind... View the full answer