Version:0.9 StartHTML:0000000105 EndHTML:0000002621 StartFragment:0000000141 EndFragment:0000002581 You are required to prepare a planning memorandum based on the FY2020 Annual Report for

Bubs Limited (Bubs) (https://investor.bubsaustralia.com).

The planning memorandum must include the following:

i. Define business risk. Identify three (3) major business risks of the company and an

explanation of why each factor identified is a risk to the business.

ii. Define inherent risk. Identify and explain three (3) inherent risks that you ascertain

from the business risks you identified (in part i).

iii. For each of the three (3) inherent risks (in part ii), identify one (1) key account and one

(1) key related assertion at risk of material misstatement.

iv. An assessment of the overall inherent risk including an explanation of the factors that

lead to this assessment.