CA Taman is the auditor of a company dealing in trading of mobile accessories. This year the company has also started assembling of mobile phones.…

(i) SA 300 "Planning an Audit of Financial Statements”, the auditor shall plan the nature, timing and extent of direction and supervision of engagement team members and the review of their work. The nature, timing and extent of the direction and supervision of engagement team members and review of their work vary depending on many factors. Factors CA Taman will consider while planning the nature, timing, and extent of direction and supervision of the engagement team members and review of their work are as follows: The size and complexity of the entity.The area of the audit.The assessed risks of material misstatementThe capabilities and competence of the individual team members performing the audit work. (ii) In case, during the course of the audit, CA Taman discovers information that significantly differs from what was available when the audit procedures were initially planned, she would update and change the overall audit strategy and the audit plan as necessary during the course of the audit. As a result of unexpected events, changes in conditions, or the audit evidence obtained from the results of audit procedures, CA Taman may need to modify the overall audit strategy and audit plan and thereby the resulting planned nature, timing and extent of further audit procedures, based on the revised consideration of assessed risks. This may be the case when information comes to the auditor's attention that differs significantly from the information available when the auditor planned the audit procedures. For example, audit evidence obtained through on detailed checking may contradict the audit evidence obtained through testing internal controls.