Complete the statement. The lower the risk of material misstatement, a. the greater the maximum tolerable misstatement b. the higher the audit risk required.
Complete the statement. The lower the risk of material misstatement, a. the greater the maximum tolerable misstatement b. the higher the audit risk required.
Auditing: A Risk Based-Approach (MindTap Course List)
11th Edition
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter9: Auditing The Revenue Cycle.
Section: Chapter Questions
Problem 17RQSC
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Question
Complete the statement. The lower the risk of material misstatement,
a. |
the greater the maximum tolerable misstatement |
|
b. |
the higher the audit risk required. |
|
c. |
the later in the year that principal |
|
d. |
the smaller the sample size needed for substantive testing |
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