An Inaccurate Form of the Audit Risk Model Would Show

question 39

Multiple Choice

An inaccurate form of the audit risk model would show that:

• A) detection risk can be determined from audit risk, inherent risk, and control risk.
• B) detection risk is inversely related to audit risk.
• C) increases in control risk will cause decreases in detection risk.
• D) audit risk is directly related to all other risks in the model.
• E) detection risk is inversely related to inherent risk.

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Definitions:

Quality

The standard of something as measured against other things of a similar kind; the degree of excellence of something.

Extremely Diverse

Referring to a broad spectrum of differences among people or entities, including but not limited to culture, ethnicity, opinions, and skills.

Dual Career

A situation where both partners in a relationship have significant career paths and work responsibilities.

Flexible Benefit Plan

A benefits plan that allows employees to choose from a range of options to create a benefits package tailored to their personal needs and situations.