If acceptable audit risk is set at low and the assessed risk of material misstatement is high, then detection risk must be:
A) High.
B) Moderate.
C) Low.
D) Cannot determine detection risk from the information given.
Answer: C) Low.
Business
You might also like to view...
A gift from a specific source, with the will stipulating that if the amount cannot be satisfied from that source, it should be satisfied from the general estate is a __________ legacy
a. specific b. residuary c. general d. demonstrative
Business
Which one of the following statements is an advantage of the group and composite methods of depreciation?
A) Faulty estimates are concealed for long periods. B) Gains are deferred beyond the period in which they actually occurred. C) Record keeping is simplified. D) Losses are not recognized in the period in which they occur.
Business