(b) On 1 April 2004 Volcan introduced a ‘reward scheme’ for its customers. The main elements of the reward scheme include the awarding of a ‘store point’ to customers’ loyalty cards for every $1 spent, with extra points being given for the purchase of each week’s special offers. Customers who hold a loyalty card can convert their points into cash discounts against future purchases on the basis of $1 per 100 points. (6 marks) Required: For each of the above issues: (i) comment on the matters that you should consider and (ii) state the audit evidence that you should expect to find, in undertaking your review of the audit working papers and financial statements of Volcan for the year ended 31 March 2005. NOTE: The mark allocation is shown against each of the three issues.