Tolerable Misstatement as Set by the Auditor

question 99

Multiple Choice

Tolerable misstatement as set by the auditor:

• A) increases inherent risk and control risk.
• B) increases control risk only.
• C) increases inherent risk only.
• D) does not affect inherent or control risks.

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Definitions:

Necessary and Proper Clause

A provision in the U.S. Constitution granting Congress the power to pass all laws necessary and proper for carrying out its enumerated powers.

National Government

The political authority that governs an entire nation, as opposed to local or state governments.

Constitution

A set of fundamental principles or established precedents according to which a state or other organization is governed.

Freedom Caucus

A congressional interest group consisting of conservative Republican members of the United States House of Representatives seeking to push the party's agenda towards more extreme positions.