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Problem 1: Problem 1: A local Birmingham-area restaurant chain introduced a new summer menu in its Vestavia Hills location, but not its Mountain Brook location. Nightly revenue averaged $6,000 in Vestavia Hills and $4,000 in Mountain Brook before the menu change, but $7,000 in Vestavia Hills and $3,000 in Mountain Brook after the menu change.The increase in average nightly revenue attributable to summer, rather than the menu change, is A. $2,000.B. $0.C. -$1,000.D. $1,000.
What impact does this have on the planning of an audit engagement? Include in your answer the impact on each area of Audit Risk.
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