Appendix B_Audit Planning Memorandum.docx

AppendixBAUDlTPLANNINGMEMORANDUMDateWUYIGECertifiedPublicAccountantsLLP15F,XueyuanInternationalTower1 ZhichunRoadHaidianDistrictBeijingDearSirs,NAMEOFCOMPONENT:AUDITFORTHEYEARENDED31DECEMBER20XXAUDITPLANNINGMEMORANDUM1. UnderstandingtheEntityandItsEnvironmentDocumentyourunderstandingoftheentityanditsenvironment.Considerthefollowingareasofunderstanding: Externalfactorsaffectingtheentity,includingindustrymatters,andanychangesfromthepriorperiod; Generaleconomicconditionsandtheireffectontheentity; Applicablelawsandregulations,includingtheapplicablefinancialreportingframework; Internalfactorsaffectingtheentity,includingimportantcharacteristicsoftheentity,theentity'sbusinessobjectivesandstrategies,andtherelatedbusinessrisksthatmayresultinamaterialmisstatementofthefinancialstatements; Significantchangesintheentityfromthepriorperiod; Historyoferror/unadjustedmisstatements; Managementsprocessformeasurementandreviewoftheentity,sfinancialperformance; Competenceoflocalmanagement;and Operatinglocations.2. AuditMaterialityPleasesetoutthematerialityadopted.3. AccountingPoliciesProvideabriefsummaryofthesignificantaccountingpoliciesusedbytheentity.Considerthefollowing: ExtentofadoptionofGrouppoliciesattheentity; Instancesoftheentity'snoncompliancewiththeGroupaccountingpoliciesassetoutinthereferralinstructionandthereportingpack;【如未向组成部分审计师提供集团会计政策，应删除此条】 Theintroductionofnewaccountingstandardsandtheireffectontheentity; Accountingandfinancialreportingmatters;and Accountingestimatesandrelatedjudgments.4. IdentifledRiskAreasa) AreasforSpecialAuditConsiderationsPleasegivedetailsofsignificantorunusualfeaturesofthecurrentyear,sresultsandofsignificantchangesfrompreviousfinancialycar,sStatementofComprehensiveIncomeandStatementofFinancialPositionandreasonsformajorvariations.AreaforspecialauditconsiderationsCommentsandexplanationsb) DiscussionamongtheAuditTeamSummariesthesignificantitemsnotedduringyourdiscussionwithlocalengagementteammembersregardingthesusceptibilityoftheentity,sfinancialstatementstomaterialmisstatements,includinganyfraud-relatedmattersandrelatedresponses.Includeinyoursummaryitemssuchasthefollowing: Howandwheretheengagementteambelievesmaterialmisstatementduetofraudorerrorismostlikelytooccur; Theexistenceofinternalorexternalfactorsthataffecttheentity; Anyhistoryoffraudorknownfraudthathasoccurredattheentity;and Othermattersthatmayaffectthepotentialformaterialmisstatementduetofraud.Note:Allsignificantfraudrisksidentifiedshouldbeincludedinthesignificantrisksectionofthismemorandum.c) UnderstandingofInternalControlProvideabriefsummaryofyourunderstandingofinternalcontrolintheentity.Considerthefollowing: Yourunderstandingoftheentity-levelinternalcontrols; Yourunderstandingoftheactivities-levelinternalcontrolsforthemainoperationcyclesandwhetheryouplantotestthedesignandoperatingeffectivenessofinternalcontrols(ifyoudon,tplantoperforminternalcontroltests,pleasestatethereason); Wheresignificantelementsoftheaccountingrecordsarecomputerized,describeyourauditapproach(e.g.useofspecialistsorothersuitablytrainedstaff;usedofenquiryprogramsorothercomputerassistedtechniques)andexplainhowyouhavesatisfiedyourselvesabouttheoperationsofanyinternalcontrolswithITorISelementsuponwhichyouhaverelied.d) ResponsestoAssessedRisksIdentifiedRiskRelatedAccountBalance(三)/Transaction(三)PotentialErrors/AffectedAssertionsPlannedResponsesNote:1.Allsignificantrisksidentifiedbythegroupauditorshouldbeconsideredifapplicable.2.IfthereisanyauditlimitationcausedbyCOVlD-19pandemicorotherissues,pleaseprovidethedetailsandyourproposedresponses,includinganyunusualauditproceduresApprovedby:(EngagementPartner)Signature:DateThissummaryshouldbewrittenonthedesignatedauditfirm,sletterhead.