PA Has Set Audit Risk at 5% and Determined That

question 32

Multiple Choice

PA has set audit risk at 5% and determined that inherent risk and control risk is at 100%. What is the detection risk?

• A) 5%
• B) 50%
• C) 95%
• D) 20%

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Definitions:

Eighteenth Brumaire

The event on November 9, 1799, by the French Revolutionary calendar (Brumaire 18), when Napoleon Bonaparte overthrew the French government, establishing himself as the First Consul and leading to his eventual dictatorship.

Louis Napoleon

Napoleon III, the nephew of Napoleon Bonaparte, who became the first President of France and then Emperor, leading France during significant industrial expansion in the 19th century.

Karl Marx

A German philosopher, economist, and socialist revolutionary whose works, including the Communist Manifesto, laid the foundation for the theory and practice of communism.

Louis Napoleon

Louis Napoleon, also known as Napoleon III, was the first President of France and later the Emperor of the French, ruling from 1848 to 1870, known for his significant modernization of the French economy and urban development.