TechWear is a privately-owned business that began operations in March 2018. Its sole business is the
manufacture and sale of upper-end, high-tech sportswear. It only sells to large distribution outlets. Its
primary product is a line of lightweight exercise clothes that contain a new, long-range RFID chip that
captures the following information about the user based on personal data (age, weight, etc.) entered by
the user:
? Heart rate
? Perspiration rate
? Calories burned
? Exercise efficiency (percent of capacity)
The chip is able to continuously send this information to a host device as far away as 15 miles. The
clothes are also GPS enabled and able to track routes, distances and elevations. Management prides
itself on being on the cutting edge. The company expects to conduct an IPO within a year or two.
TechWear recently retained your firm as its auditors, largely because of your commitment to conduct a
highly efficient, technology-enabled audit.