Assessing Audit and Business Risks

Business Risk

A toy is purely a consumer-oriented product which may or may not be chosen for a purchase . For instance , a mobile phone , a laptop or a music system are necessary to meet daily needs which have to be purchased by a consumer . A toy is entirely an entertaining product which is available in various prices within the budget of a consumer . Toy companies are always innovative such as funskool , star wars , hot wheels Barbie are some of the best companies which have won the confidence of consumers and have retained

a place in the international market of toys There is always 50 :50 risk vs profit is present in a toy industry with the fact that , how much ever a toy is both eye pleasing and entertaining , price is also an important factor which must be within the range of personal budget of a consumer . It is an important aspect to understand that a consumer never purchases toys out of the budget Similarly when toys are presented as gifts , consumers may spend moderately for a gift presentation while others may spend lavishly basing on the interest in relationships maintained respectively within a society

However , a toy business must always endeavor to create value and wealth , otherwise , the entire purpose of business is defeated Beginning from the point of manufacture , production , logistics , supply chain , sales , marketing , revenue , expenses , profits , projections , ratios and to the point of audit every aspect should be dealt with transparency and record of documentation . Management...