CMBCPALAWYER CONRADO M.

BRIONES
CERTIFIED PUBLIC ACCOUNTANT/LAWYER
Block 3, Lot 10C, Alfa Street
North Fairview Park Subdivision
Fairview, Quezon City

Tel: (0927) 961-46-09

E-mail: conrado_briones@yahoo.com
BOA Certificate Reg. No:3985
BIR Accred No. 07-000078-2-2016

September 19, 2019

VIAGEM SERVICES, INC.

10F, Salustiana Dy Ty Tower, Paseo de Roxas
Makati City.

Attention: Ms. Isabella Y. Hubahib

President

Gentlemen:

I am pleased to submit this proposal for the audit of the financial statements of VIAGEM
SERVICES, INC.

SCOPE AND OBJECTIVE OF AUDIT

My work will consist of a regular audit of the financial statements of VIAGEM SERVICES,
INC. as of and for the year ended June 30, 2019.

The basic financial statements include the following:

Balance Sheet
Statement of Income
Statement of Cash Flows
Statement of Changes in Equity
Notes to Financial Statements

The objective of my audit is to render an independent report on the Company’s financial

statements upon the completion of the audit.

AUDITORS' RESPONSIBILITIES AND AUDIT LIMITATIONS

I will conduct my audit in accordance with generally accepted auditing standards in the
Philippines. Accordingly, I will examine, on a test basis, evidence supporting the amounts and
disclosures in the financial statements, assess the accounting principles used and significant
estimates made by management and evaluate the overall financial statement presentation.
 CONRADO M. BRIONES
CERTIFIED PUBLIC ACCOUNTANT/LAWYER

Auditing standards generally accepted in the Philippines require that I obtain reasonable, rather
than absolute, assurance that the financial statements are free of material misstatement, whether
caused by error or fraud. There are inherent limitations in a regular audit of financial statements,
such as the possibility, among others, that collusion or forgery may exist that may preclude the
detection of material error, fraud, and illegal acts. Accordingly, a material misstatement may
remain undetected. Also, an audit is not designed to detect error or fraud that is immaterial to the
financial statements. However, I will bring to your attention any material misstatement and
fraudulent or illegal acts of which I become aware during my audit. In the unusual event that I
am unable to complete the audit or unable to form or have not formed an opinion, I may decline
to express an opinion or decline to issue a report as a result of unresolved problems and issues
affecting the financial statements.

While an audit includes obtaining an understanding of internal control sufficient to plan the audit
and to determine the nature, timing and extent of audit procedures to be performed, it is not
designed to provide assurance on internal control or to identify significant deficiencies in internal
control. However, I will bring to the attention of management any such deficiencies that come to
my attention.

The Company is responsible for the preparation of its income tax return as well as withholding
and other tax returns. My responsibility is to ascertain that the items being reported agree with
the Company’s books of accounts, and to perform high-level reasonableness test of the affected
accounts in the financial statements with appropriate consideration for materiality. Like the
financial statements, the tax returns, including all the information contained therein, is the
Company’s responsibility as to its completeness and compliance with the tax laws and applicable
regulations.

Working papers prepared in connection with the audit are my property. Such working papers
constitute confidential and proprietary information and I shall retain the same.

MANAGEMENT'S RESPONSIBILITIES AND REPRESENTATIONS

The Company’s management is responsible for the preparation and fair presentation of financial
statements in accordance with accounting principles generally accepted in the Philippines and for
adjusting those statements for any material misstatement. Management is also responsible for:

 Maintaining effective internal control over financial reporting;

 Identifying and ensuring that the Company complies with the laws and regulations
applicable to its activities;
 Making available to me all financial records and related information and personnel with
information of relevance to my audit and any explanations which I require for audit
purposes. Delays in providing me with significant information may affect my ability to
meet the audit timetable; and
 Informing me of all allegations involving financial improprieties received by Company
officials and responsible personnel and disclosing promptly to me the full details of such
information as well as details of investigation by the Company.
 CONRADO M. BRIONES
CERTIFIED PUBLIC ACCOUNTANT/LAWYER

As required by auditing standards generally accepted in the Philippines, I will make specific
inquiries from management and others about the representations embodied in the financial
statements and the effectiveness of internal control. Those standards also require that I obtain
from certain members of management a representation letter covering the financial statements
and which affirms that the effect of any uncorrected misstatements are, both individually and in
the aggregate, immaterial to the financial statements taken as a whole. The results of my audit
tests, the responses to my inquiries and the written representations constitute the evidential
matter I intend to rely upon in forming an opinion on the financial statements. Because of the
importance of management's representations to an effective audit, the Company and its
management agree to release me from any liability and costs relating to the services under this
letter attributable to any misrepresentation by management.

If you intend to publish or otherwise reproduce the financial statements together with my report
in a document that contains other information, you agree to provide me with a draft of the
document to read and comment on before it is printed and distributed. Furthermore, you agree
that the terms of this engagement do not encompass an undertaking (1) to consent, by means of a
separate letter or otherwise, to the inclusion of my report on the financial statements referred to
above in a filing with any regulatory agency or otherwise reissue my report for purposes of
financing transaction, or (2) to acknowledge reliance by others on my report when included in a
document that contains other information to be filed with regulatory agency in connection with a
financing or capital restructuring transaction.

Except for the hard copy of the Company’s annual report and financial statements, my audit
report on the Company’s financial statements should not be reproduced or referred to
electronically or within any other document without my consent as to the manner and context in
which my report is referred to or reproduced.

My letters, comments and advice made to the Company relating to or resulting from my audit of
the financial statements are given in strict confidence, solely for the use and information of the
Company’s management and shall not be disclosed to parties outside of management unless
required by law and regulations of government agencies.

FEES AND OTHER TERMS OF ENGAGEMENT

I will bill professional fee of P30,000, net of expanded withholding taxes, for the audit of the
Company’s financial statements. I will submit an initial billing of P15,000 upon signing of the
proposal and a final bill for the balance of the agreed fee upon delivery of my report. My billings
are payable upon receipt.

I will agree with your designated officer(s) on a timetable that will enable the Company to meet
deadlines for filing of audited financial statements and annual income tax return with
government agencies. I assumed the normal audit situation wherein all the necessary accounting
work, schedules and analyses of accounts will be completed by the Company’s personnel and
submitted to me on a timely basis for my audit, and that the accounting records are kept up-to-
date and properly maintained. Should there be unusual problems or other unanticipated problems
 CONRADO M. BRIONES
CERTIFIED PUBLIC ACCOUNTANT/LAWYER

beyond my control that would significantly increase audit time, I will discuss with you any
additional fees that I may bill the Company.

Should there be any claim against me by the Company for any reason arising from or, relating to
the services under this letter, my maximum liability shall be limited to the fees paid to me for the
services or work product giving rise to any claim or alleged liability. I will not be liable to the
Company for any consequential or indirect or punitive loss and damage. The terms of the audit
engagement shall be governed by and construed in accordance with Philippine laws and shall be
subject to the exclusive jurisdiction of Philippine courts.

ACKNOWLEDGMENT

Please confirm your agreement with the terms of this letter by signing a copy of this letter and
returning it to me so I can plan the necessary work.

*****

I appreciate the opportunity to render professional service to your Company.

Very truly yours,

CONRADO M. BRIONES
CPA

AGREED AND ACKNOWLEDGED:

For and on behalf of the Company, I confirm our agreement to the terms contained in this letter.

By: _____________________________________________Date ______________________

MS. ISABELLA Y. HUBAHIB