Auditing: Adairs Limited Annual Report 2020

AUDITING

TABLE OF CONTENTS
PART A...........................................................................................................................................3
1 Name of the company and website of annual report................................................................3
2. Reporting Date of the financial statement...............................................................................3
3. Date of the auditors report......................................................................................................3
4. Name of the audit firms and audit partner signing the report.................................................3
5. To whom the auditors report addressed?................................................................................4
6. Type of audit opinion and its details.......................................................................................4
7. Key Audit Matters...................................................................................................................4
8. ASAs and other regulations the auditors report has complied with........................................4
9. Total assurance fees charges...................................................................................................5
10. Non-assurance fees charges..................................................................................................5
PART B............................................................................................................................................5
1. Identification and explanation of factors that have impact on the inherent risk.....................5
2. Risk factor impact on the Adairs Limited audit approach......................................................6
3. Components of audit risk model and comment on Adairs risk model....................................7
4. Comment and recommendation on overall audit strategy for the Adairs Limited..................7
5. Comment on the strength and weaknesses of the Adairs internal control..............................7
REFERENCES................................................................................................................................9

PART A
1 Name of the company and website of annual report
The name of the company selected for this present assessment is Adairs Limited which is
an Australian based furniture stores company (Haapamäki and Sihvonen, 2019). The annual
report 2020 of the company was gather from the website name investor.adairs.com.au having the
access link such as <https://investors.adairs.com.au>.
2. Reporting Date of the financial statement.
Reporting date means the last date on which the financial statements of the Adairs company has
prepared and relates. The financial statements of Adair Limited is prepared at the end of the
every fiscal year i.e., 28th June. Thus, the reporting date of the annual report 2019/ 2020 of the
Adairs company is 28th June 2020.
3. Date of the auditors report.
The auditors report date is the date on which the independent auditor of the company
issues the written letter describing their opinion on the truthfulness and fairness of the financial
statement. It includes whether the financial statement are free from the material misstatement or
not (Brown and et.al., 2020). Thus, the date of auditors report of Adairs Limited 2020 annual
report and financial statement is 28th August 2020.
4. Name of the audit firms and audit partner signing the report.
The name of the audit firms which has identified that whether the financial statement of
Adairs Limited has followed all UK Generally Accepted Accounting Principles are Ernst and
Young (E&Y). Also, the audit parter who has signed the annual report of the company is Joanne
Lonergan Partner.
5. To whom the auditors report addressed?
The auditor report is addressed to the particular group of the company thus it can be said
that the audit report prepared by the E&Y is addressed to the directors of the Adairs Limited. It