OPQ Audit Firm was planning the audit for its existing client, Alpha & Beta Corp.The audit partner was trying to determine the best audit strategy to use.Alpha & Beta Corp is a small retailing company that does not have any warehousing facilities as all stock is kept on the premises.Being small, they only have a small team of staff, which makes the separation of duties principle difficult to achieve.The preliminary tests of controls found that the internal control procedures are well designed, but not always observed due to the small amount of staff.Previous experience with this client also showed that controls were not always observed.Despite this, OPQ has never discovered a material misstatement in the accounts.
Required: determine what audit strategy should be used and justify your answer.

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The Answer of OPQ Audit Firm was planning the audit for its existing client, Alpha & Beta Corp.The audit partner was trying to determine the best audit strategy to use.Alpha & Beta Corp is a small retailing company that does not have any warehousing facilities as all stock is kept on the premises.Being small, they only have a small team of staff, which makes the separation of duties principle difficult to achieve.The preliminary tests of controls found that the internal control procedures are well designed, but not always observed due to the small amount of staff.Previous experience with this client also showed that controls were not always observed.Despite this, OPQ has never discovered a material misstatement in the accounts.
Required: determine what audit strategy should be used and justify your answer.

OPQ Audit Firm Was Planning the Audit for Its Existing