auditing plan for Melbourne Airport

1.Executive summary
You should include here a brief summary of the assignment.
2. Introduction
You should include here an introduction to the audit plan and its major components.
3. Audit plan
a) Understanding the entity and its environment
Include in this section your understanding of the entity. Key information includes
1. Organisational structure;
2. Operational and legal structure;
3. Industry and economic conditions.

b) Understanding internal control
Show your understanding of the entity’s internal control here by including a discussion on
1. Corporate governance;
2. The existence of an audit committee;
3. Internal audit;
4. Fraud risk;
5. Compliance with the Good Corporate Governance Guide if applicable.

Assessing the risks of material misstatement (choose 5 key accounts for each risk)
From the income statement and the balance sheet, identify 5 key account balances at greatest risk of being materially misstated. Tip: You should follow the following steps:
1. Using analytical procedures, calculate the movement between two financial years for each account balance in the income statement and balance sheet. Tips: put the income statement and the balance sheet on a spreadsheet to calculate the movement in dollar term and percentage.
2. Choose material accounts with the most material movement between two financial years;
3. Justify your selection with the use of the audit risk model, i.e. assess the inherent risk level from (a) and the control risk level from (b) above. Assess the detection risk and audit risk based on your assessment of (a) and (b).
d) Developing responses to assessed risks (for the accounts selected above)
For each of the account balances chosen in (c), determine
1.The most appropriate audit approach. Tips: your approach is dependent upon your audit risk assessment.
2. Nominate three substantive audit procedures to verify the account balance.

4 Conclusion
Conclude whether you believe the audit plan would lead to a successful completion of the audit.
5 Appendix
Include chart, spreadsheet or other information used in developing your audit plan.
6 References (15 references and in text references as well)
Include textbook, handbook, journal articles, annual report, etc. used in the development your audit plan.
please, make sure that you use Australia Accounting Standards, Australia information, Australia regulations and so on.