During an audit class, a student suggests that it might be more cost effective if auditors always set Control Risk at Maximum and then perform the planned substantive tests to collect audit evidence.  In which of the following clients audits would the student's suggestion be incorrect if the audit is performed according to the AICPA auditing standards?

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
Chapter14: Completing A Quality Audit
Section: Chapter Questions
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During an audit class, a student suggests that it might be more cost effective if auditors always set Control Risk at Maximum and then perform the planned substantive tests to collect audit evidence.  In which of the following clients audits would the student's suggestion be incorrect if the audit is performed according to the AICPA auditing standards?

A) A not for profit charity organization

B) A Wall Street Company

C) A membership-only company   

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