the purpose of part 1 is to perform preliminary analytical procedures as part of the audit planning process. you have been asked to focus your attention on two purposes of analytical procedures: obtain an understanding about the client's business and indicate where there is an increased likelihood of misstatements.
a. Refer to the financial statement data in Figure 8-9 for the current year and prior two year. Analyze the year-to-year change in account balance for at least five financial statement line items. Document the trend analysis in a format similar to the following: