Answered: Assertions with high inherent risk are…

Assertions with high inherent risk are least likely to involve a. complex calculations b. difficult accounting issues c,. routine transactions d. sigifican judgement by management

Auditing: A Risk Based-Approach to Conducting a Quality Audit

10th Edition

ISBN:9781305080577

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter7: Planning The Audit: Identifying, And Responding To The Risk Of Material Misstatement

Section: Chapter Questions

Problem 6TFQ

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Question

Assertions with high inherent risk are least likely to involve

a. complex calculations

b. difficult accounting issues

c,. routine transactions

d. sigifican judgement by management

Expert Solution

Step 1

Routine transactions doesn't have assertions with high inherent risk.

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