Carinal Ltd$.$ specializes in the development of electronic components within quite a

competitive environment causing concerns for marketing and pricing. Its non$-$current assets

primarily include IT software, property, and investments, and there have been additions to

these during the year.

As audit manager, you are conducting a preliminary analytical review and associated risk

analysis for this client for the year ended June $302022.$ You have been presented with the

following draft financial information about Carinal with incomplete ratios and percentages

calculation.INCOME STATEMPart A

Required

Please recommend three more areas in addition to the previous five that are subject to increased audit risk and describe the further audit work you would perform in response to those risks.