Outline the steps involved in developing audit plans. Explain how you would develop an audit plan to provide a basis for expression of an audit option. Describe why internal controls are part of understanding of the client. Evaluate the client and their environment, including internal control. Describe how an auditor obtains an assessment of risks. Assess risks of material misstatement to design further audit procedures. Explain what tests of financial statement accounts auditors perform. Test financial statement accounts and balances, based on considerations of risks and internal controls