Auditing and Assurance: Internal Growth and Expansion Strategies for Jertsy Ltd and Sweet Sound Ltd

Running head: AUDITING AND ASSURANCE
AUDITING AND ASSURANCE
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AUDITING AND ASSURANCE1
Table of Contents
Introduction................................................................................................................................2
Discussion..................................................................................................................................2
In Response to Question 1......................................................................................................2
In Response to Question 2....................................................................................................10
Conclusion................................................................................................................................15
References................................................................................................................................17

AUDITING AND ASSURANCE2
Introduction
The assignment actually deals with the chosen company which are the Jertsy ltd and
Sweet sound ltd and other aspects related to audit is conducted in this case. The glitches in
the system have been depicted in the conducted study along with the board of directors in
order to take the most significant decisions which is actually involved in that case. The
company in this case must adopt the strategy in order to expand the business. The initiatives,
which the management of the company must undertake in order to good enhance the overall
business prospects of the company based on the long term objective of the firm. The case
study of another firm which is the Sweet Sound ltd (SS) where the company is deciding to
increase the sales of the business for the period of about 3 to 5 years of the business. The
warranty period claim is actually related to the new products in the business of the company.
The risk which are associated with the provision of the company along with the provision of
warranty is further taken into consideration are further depicted in the conducted study.
Discussion
In Response to Question 1
The case study is related to the internal growth of the business of Jertsy ltd and further
the expansion of the business also falls under the internal related growth of the company. The
company is actually working in to expand the business and further to enhance the overall
business prospects. The growth strategy is basically one of the most competitive strategy
which takes place in order to enhance the market position of the company. The overall
growth of the company is impacted based on the economic development, which actually takes
place in the firm. The resources of the firm will further lead to the growth of the company
along with that effective or optimum utilization of resources. Some of the general growth
strategies in the business are the market expansion, market penetration, product expansion,
diversification and acquisition of the company (André et al. 2016).

AUDITING AND ASSURANCE3
In the internal growth, strategy of the company some of the significant actions are
accordingly performed which includes designing and developing of the existing products in
the business of the company. The products of the business in that case must be experimented
by the company along with the other aspects which are associated with it. The chosen
company in this case is the Jertsy Ltd which deals with the fashion clothing stores which is
situated in Australia state capitals. The monthly income and expenditure of the company is
kept in record by the company along with the other aspects which are associated in that case.
In case of expansion, the company needs to adopt some of the significant business strategies
which is that the finance department of the company must be large in order to deal with the
potential customers in the market (Ma’Ayan and Carmeli 2016).
The monthly return is evaluated accordingly by the senior level management of the
company along with the detailed evaluation which is associated along with it. The senior
level management of the company must understand the other parameters which creates
impact on the business prospects of the company. At the time of audit of the company, it is
actually needed by the company to follow the rules and regulation which is associated with
the business. The accounting treatment of the company must be complied with the norms
which is listed in the AASB act of the company (Kung, Chang and Zhou 2019). At the time
of business expansion it is quite important for the senior level management of the company to
follow the rules which are particularly laid on the AASB act of the company. The internal
management control of the company must be effective so that at the time of expansion it is
needed by the management of the company to mitigate the risk and the other factors which is
associated with the business.
The management system of the company at time of expansion must take some of the
significant business steps in order to enhance the sales which will automatically increase the
revenue in the business of the company. The business growth of the company is actually