i. THE REGULATORY FRAMEWORK AND FINANCIAL AUDITING
(a) Cool Kids is a registered charity that so far this year has received $2 million of donations and had operating expenses of $250,000. Cool Kids are applying for funding from Giving Out Trust. However, Giving Out Trust has advised that theymfd.. Will not accept applications unless the applicant's financial statements have been we assured.
Required:
You are Cool Kids' Treasurer, please advise the Cool Kids' Board what are the different assurance options available and which one would you /1 recommend for Cool Kids. Ensure your recommendation is fully explained.
(b) Discuss two key issues that the IA-ABB are currently deliberating over. Evaluate why these issues are of importance to auditors and how they were dealt with previously.