Risk in Auditing Means That the Auditor Accepts Some Level

question 2

Multiple Choice

Risk in auditing means that the auditor accepts some level of uncertainty in performing the audit function.An effective auditor will

• A)take any means available to reduce the risk to the lowest possible level.
• B)set the risk level between 5% and 10%.
• C)perform the audit procedures first and quantitatively set the risk level before forming an opinion and writing the report.
• D)recognize that risks exist and deal with those risks by performing high quality audits.

---

Definitions:

Doctorate Degrees

The highest level of academic degrees, representing advanced research skills or professional expertise in a specific field.

Wages Increase

A rise in the rate of pay received by employees for their labor.

Economists Employment

The sector or roles within the economy where individuals specializing in economic theories, principles, and models find work opportunities.