ULPA PLATFORM FOR ACCOUNTANCY LEARNING OBJECTIVES - DETERMINING MATERIALITY 1. Identify business risks for the air transport service sector 2. Identify and evaluate the

LEARNING OBJECTIVES DETERMINING MATERIALIT'I" 1. Identify business risks for the air transport service sector 2. Identify and evaluate the factors important in assessing an audit client's business risk and the risk of material misstatement 3. Identify and understand the implications of key inherent and business risks associated with a NEW client 11. Determine planning materiality for an audit client 5. Provide support for your materiality decisions DETERMINING lull.III.TERI.|II.I.I'I"IIr After you have accepted IflItirlines as a new client, you are provided with the preliminary December 31, lxxl financial statement. For the purpose of risk assessment please use the information given in the description of the case. To fulfil this task please answer the questions on the next page. For determining materiality please use the Risk Assessment sheet in the Appendix

ULPA PLATFORM FOR ACCOUNTANCY LEARNING OBJECTIVES - DETERMINING MATERIALITY 1. Identify business risks for the air transport service sector 2. Identify and evaluate the factors important in assessing an audit client's business risk and the risk of material misstatement 3. Identify and understand the implications of key inherent and business risks associated with a new client 4. Determine planning materiality for an audit client 5. Provide support for your materiality decisions DETERMINING MATERIALITY After you have accepted 4-Airlines as a new client, you are provided with the preliminary December 31, 2xx1 financial statement. For the purpose of risk assessment please use the information given in the description of the case. To fulfil this task please answer the questions on the next page. For determining materiality please use the Risk Assessment sheet in the Appendix.