As a Result of Tests of Controls, an Auditor Assessed

question 18

Multiple Choice

As a result of tests of controls, an auditor assessed control risk too low and decreased substantive testing.This assessment resulted because the true deviation rate in the population was

• A)More than the risk of assessing control risk too low based on the auditor's sample.
• B)Less than the risk of assessing control risk too low based on the auditor's sample.
• C)More than the deviation rate in the auditor's sample.
• D)Less than the deviation rate in the auditor's sample.

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Definitions:

Personal Selling

A promotional method involving direct interaction between a sales representative and a prospective buyer to influence the buyer's purchase decision.

Imc Budget

The allocation of financial resources to integrated marketing communication activities, aimed at creating and maintaining effective relationships with target audiences through a consistent brand message.

Purchase Decisions

The process by which consumers decide whether, what, when, from whom, and how much to buy a product or service based on a complex interplay of factors.

Advertising

The act of promoting products, services, or brands through various forms of media to attract and engage consumers.