Paper , Order, or Assignment Requirements

This assignment is to be based on Metcash Limited (ASX code-MTS).

The objective of this assignment is

to test students  ability to integrate skills learnt in Advanced Auditing and Assurance

(ACC5AAS) to analyse a real company from the auditor s perspective.

The successful completion of this assignment requires extensive research on Metcash s

internal and external environments, operations, strategies and analysis of annual reports

Length and format

The assignment shall be presented in the below format:

3. A title page containing the title of the assignment, name and student numbers of the

group members, tutor s name and the time and location of tutorial.

4. A table of contents
5. An executive summary
6. The build of the assignment (MS word,

and appendices), Times New Roman, Size 12 font, double spacing). Use of

headings, tables and graphs is encouraged. Appropriate reference citations

throughout the assignment is expected.

7. References

Failure to meet the above length and format requirements will incur a 5 mark penalty.

1. You are a part of the team responsible for planning the Metcash (parent and the

consolidated economic entity) audit engagement for 2017. You have been assigned

to gather relevant background information and prepare a report for a meeting with

your audit partner and audit managers. Your report must address the following

issues:

1. What are the areas in which Metcash conducts its operations?
2. Which particular laws/regulations (other than financial related categories

which include legislations such as: Corporation Act 2001, Australian taxation

laws, etc.) affect its operations? You need to identify at least FIVE

laws/regulations.

1. Who are its primary competitors?

[6+5+2= 13 marks]

2. Identify and explain FIVE significant business risk factors that the auditor needs to

consider for the Metcash group engagement.

[5 marks]

3. Identify at least FOUR accounts susceptible to misappropriation or fraudulent

financial reporting within the Metcash Group and explain why. Your answers should

be reflective of your in-depth understanding of Metcash Group and its environment.

[12 marks]

4. With specific reference to Metcash s corporate governance arrangements, you need

to assess the likelihood of the potential reliance that could be placed on the overall

control environment. Your conclusion should be supported by at least FIVE factors.

[5 marks]

5. Recently Metcash showed its intentions to acquire Woolworth s Home Timber and

Hardware business for about $250 million. The Australian Competition and

Consumer Commission (ACCC) have also given approval to bid for Home Timber

and Hardware business. How will the development of the proposed acquisition of

Woolworth s Home Timber and Hardware business affect your 2017audit plan for

Metcash?