An important part of the process of assessing a client’s business risk is the auditor’s industry knowledge. The following are some of the areas of knowledge that are required.

• Critical issues facing the industry

• Relationship of industry to the economic environment

• Industry structure and profitability

• Client’s position within the market

Give examples of risk that could be present and discuss what knowledge of these areas an auditor should possess

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An important part of the process of assessing a client’s business risk is the auditor’s industry knowledge. The following are some of the areas of knowledge that are required.

• Critical issues facing the industry

• Relationship of industry to the economic environment

• Industry structure and profitability

• Client’s position within the market

Give examples of risk that could be present and discuss what knowledge of these areas an auditor should possess

Leave a Reply

Your email address will not be published. Required fields are marked *