If the Auditor Decides to Reduce Acceptable Audit Risk, Planned

question 110

Multiple Choice

If the auditor decides to reduce acceptable audit risk, planned detection risk

• A) increases.
• B) decreases.
• C) stays the same.
• D) cannot be determined.

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Definitions:

Contingency Table

A table often used in statistics to show the frequency distribution of variables, helping in the analysis of the relationship between them.

Equality Of Variances

A statistical condition in which two or more groups have the same variance, often an assumption in certain tests of significance.

Test Statistic

A calculated value used in statistical hypothesis testing to determine whether to reject the null hypothesis.

Chi-Square Test

A statistical test used to determine whether there is a significant association between two categorical variables.