Triangle Manufactured Homes
Module 1 Templates
Please use the following templates (not a memorandum) to document your understanding of TMH’s
business and environment, and your assessment of financial reporting practices and risk. It is strongly
suggested that you use a list/bullet format (using complete sentences, proper grammar, etc.):
1. Business analysis
 Business Model Template
 Business Risk Analysis (BRA) Templates (note that you should complete a separate BRA template
for each identified business risk/threat)
2. Accounting analysis
 Accounting Analysis Template
3. Financial analysis
 Financial Analysis Template
 Excel Spreadsheets (include the formula sheet)
4. Audit risk assessments
 Audit Risk Assessment Template
5. Appendix [Optional]
Other supporting documentation or information
Triangle Manufacturing Home
Business Model
Strategic Objective(s)
Goals
Product and Services Lines
Primary Customers
Primary Competitors
Markets that the company operate in: geographical and customer
Strategic Partners and Alliances (relationships) that are Critical to the Company
Environment and Industry Overview (including changes)
Recent Changes in TMH’s Business Practices, etc
External Forces that may have an impact on the company (or management’s objectives/goals):
Key Internal Business Processes (processes to carryout objectives – primary or support)
Internal Forces that may impact the company (management’s objectives/goals)
Other Information
Business Risk Analysis Template
(complete a separate template for each identified [external or internal] business risk/threat)
Business Risk/Threat
Source of Risk/Threat
External or Internal Risk
Likelihood of Risk (high, medium, low)
Business Activities Likely to be Affected
Potential Accounting and Financial Reporting Impact
Potential Key (Strategic or Operational) Controls to Mitigate the Risk:
Audit Risk Implications
Accounting Analysis Template
Based on your evaluation of TMH’s business model, risks, accounting regulations and annual report, identify any issues (e.g.,
concerns, problems) related to the company’s accounting and disclosure practices that must be addressed or raises concern.
Accounting and Disclosure Issue
Audit Implication
Financial Analysis Template
Based on your analysis of TMH’s financial statements, present the results of your evaluation of the company’s current financial
condition and future prospects. Your evaluation should integrate relevant financial indicators, ratios, common-size statements
(vertical), growth analysis (horizontal common-size) and trends that you calculated using Microsoft Excel. The spreadsheets
should be submitted after the financial analysis templates. Reference relevant figures in your evaluation/write-up.
Profitability
Liquidity (and Cashflow) [Short-term debt paying ability]
Activity
Solvency
Leverage
Financial Analysis Template
Market
Growth and Trends
Other Information
Audit Risk Assessment Template
Present an in-depth rationale for each (balance sheet and income statement) account for which your assessment of the
[inherent] risk of material misstatement other than low. Discuss each account separately. You may need to reference
current GAAP in your discussion.
Audit Risk Assessment Template
Preliminary assessment of fraud risk and in-depth rationale for your assessment.
Preliminary assessment of going concern risk and in-depth rational for your assessment.