Details of your task You are planning an audit and have access to the preliminary trial balance for your client. You would like to use the trial balance to identify accounts that are likely to require significant audit attention. To access the trial balance for your client, open the document called ‘Trial balances for task 2’ and follow the directions to the appropriate worksheet. Your task: You must choose 7 accounts from the trial balance for audit testing. In doing so, you should: Complete an analytical review using the trial balance, Make a preliminary judgement of materiality, Use the analytical review and materiality assessment to identify accounts that are at-risk of material misstatement. Consider whether there are any accounts that should be selected regardless of their quantitative materiality, including: o At least one account that may be at-risk of fraud, and o At least one account that may require significant audit attention for qualitative reasons other than fraud-risk. Provide a brief rationale for the selection of each of the 6 accounts. For each account that you have selected, identify one assertions that is at risk (i.e. identify 7 assertions in total). Please include an explanation as to why the assertions are at risk. For each account/assertion briefly explain an audit procedure that could provide evidence relevant to the assertion. A suggested template for presenting your answer is included below. This may require independent reading beyond the chapters indicated in the course outline. Analytical reviews are covered in chapter 8 (week 3 lecture) and materiality is covered in chapter 10 (week 6 lecture) Assertions are listed and explained in chapter 9 (week 4 lecture). The textbook includes lots of example procedures (or you can think of your own). 3 A suggested template for your answer You may wish to format your answer as follows: Title page 1.0 Audit planning 1.1 Analytical review 1.2 Preliminary judgement of materiality 2.0 First account selected 2.1 Rationale for selection 2.2 Assertion and explanation 2.3 Recommended audit procedure 3.0 Second account selected 3.1 Rationale for selection 3.2 Assertion and explanation 3.3 Recommended audit procedure … 8.0 Seventh account selected 8.1 Rationale for selection 8.2 Assertion and explanation 8.3 Recommended audit procedure List of references