If an Auditor Establishes a Relatively High Level for Materiality

question 41

Multiple Choice

If an auditor establishes a relatively high level for materiality, then the auditor will

• A) accumulate more evidence than if a lower level had been set.
• B) accumulate less evidence than if a lower level had been set.
• C) accumulate approximately the same evidence as would be the case were materiality lower.
• D) accumulate an undetermined amount of evidence.

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Definitions:

Spider

The axle hub mounting to which truck foundation brakes are mounted. Also a slang term for a U-joint cross or trunnion.

Four Pinions

Describes a gear assembly configuration that includes four pinion gears, often found in differential assemblies to evenly distribute torque to the wheels.

Truck Differential

A mechanical device in a truck that allows the outer drive wheel to rotate faster than the inner drive wheel during a turn, improving traction and handling.

Tandem Drive Truck

A truck with two rear axles, both of which are drive axles, providing better traction and load distribution.