Audit Imperative 5: Supervise and review the work of component auditors For Group Audits Appropriate responsibility for

r referred work Performing group audits involves complexities regarding scoping, coordinating, and executing audit work, whether performed by the group engagement team or component auditors. Given these complexities, supervision, and review of component auditors are important activities to determine that we have appropriately identified and responded to assessed risks of material misstatement to the group financial statements and, more broadly, that we have adhered to professional standards. All professionals are expected to demonstrate an understanding of the requirements related to group audits (including applicable professional standards e.g. ISA 600, SA 600). All professionals are also expected to know that whilst we would be planning and performing group audits in accordance with the requirements of ISA 600, reporting in India will be in accordance with the requirements of SA 600. Leading practices Use template referral instructions and clearly outline the scope of procedures to be performed Actively participate in risk assessment and planning Have open, two-way dialogue with component auditors Consider visiting the component auditor (additional oversight may be planned where work is referred to challenging environments, such as China) Obtain and review audit documentation as appropriate Use component auditor checklist (under preparation) Document oversight over component auditors work through an Oversight Memo. Please document below how the team has implemented audit imperative #5 during the current year:

WP Reference: ________________________________

Audit Imperative 6: Improve expertise in audit skills yours and those of others Drive development and continuous improvement Learning is a critical factor to achieving professional success. Improving expertise in audit skills is important for continuing to develop as professionals and to execute the highest quality audits. Being an expert auditor supports the delivery of exceptional service to our clients as we fulfill our responsibilities to investors, lenders and other users of the financial statements. Professionals are expected to identify gaps in audit skills and pursue relevant learning opportunities. In addition, professionals are encouraged to drive development of others by facilitating trainings. Leading practices Complete mandatory learning requirements including e-learning and technical updates, and schedule time for engagement teams to do the same Spend time delivering on-the-job training by taking the following actions: o Increase amount of time spent at the engagement supervising and coaching team members o Communicate the implications of FY13 Audit Imperatives to the engagement o Review and reinforce the importance of professional standards o Confirm engagement team members understanding of their assignments and share insights about areas that may require professional judgment or additional time and focus o Plan for on-boarding new team members on the engagement o Plan for rotation of work amongst the ET members o Role model professional judgment and skepticism by asking probing questions and reviewing work timely o Discuss the relevance and application of formal learning to the engagement Please document below how the team has implemented audit imperative #6 during the current year:

WP Reference: ________________________________