Question $1$

You are performing initial scoping for your group audit, which has $9$ components.

Based on your judgment and the following case study facts, at which comporient would you plan for audit work to be performed?

Component $4,$ because its revenue has routine transactions that do nor involve judgment, and the annualized revenue balance is $4$ group PM$.$

Component $9,$ because it is a newly acquired entity with a high degree of complexity to its operations.

Component $2,$ because its subject to a statutory audit. which has not identified any significant issues.

Component $7,$ because its PP&E is $5$ group PM$,$ and there are no indicators of impairment and no specific risks.