AMP: Audit and Business Risks

Advance audit and assurance
services

AMP
Executive summary
A company’s effectiveness must be determined by the audit firm prior to obtaining the
auditing job because it can assist them in achieving better outcomes. In relation to this, both
the external and internal scenarios of the company must be critically analysed so that auditing
process can be well achieved. This report assists in highlighting such scenario for AMP Ltd
so that its external and internal environment can be studied thoroughly. The company’s
introduction has been discussed in the starting segment and thereafter, its primary activities
have been discussed for better understanding. Thereafter, the legislations influencing the
company has also been discussed through this report. In addition, the accounts vulnerable to
material risks are also discussed together with the company’s internal control issues.
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AMP
Contents
Introduction...........................................................................................................................................3
Segments wherein the company has undertaken its affairs..................................................................4
Four crucial legislations that has influenced the company....................................................................5
Prime business risks that has influenced the company’s audit processes.............................................6
Accounts that are exposed to material risk of misstatement................................................................8
Weaknesses of internal control that has been reflected by the royal commission...............................9
Conclusion in relation to undertaking the process of audit.................................................................11
References...........................................................................................................................................12
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AMP
Introduction
AMP Ltd has been in the business of offering financial services like life insurance,
management of capital, management of wealth, etc. In addition to this, since the company has
been negligent in maintaining the effectiveness of its internal control measures, it has been
tackling various types of legal issues. Besides, the frauds and errors on the part of executives
of the company has deteriorated its goodwill and reputation. Further, this report has
highlighted the audit and business risks of the company and offers a suggestion to the team of
audit whether to undertake the audit process or whether not to undertake the same.
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