The Risk That an Auditor Will Conclude, Based on Substantive

question 19

Multiple Choice

The risk that an auditor will conclude, based on substantive procedures, that a material error does not exist in an account balance when, in fact, such an error does exist is referred to as:

• A)sampling risk.
• B)detection risk.
• C)nonsampling risk.
• D)inherent risk.

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Definitions:

Hearing

The sensory process by which sound waves are detected by the ear and converted into neural signals that are interpreted by the brain.

Hyposexual

Exhibiting low or reduced sexual desire or activity.

Hypoactive Sexual

Characterized by a lower than normal interest in sexual activity or desire.

Female Sexual Interest/Arousal

A disorder characterized by a lack of, or significantly reduced, sexual interest or arousal, causing distress or interpersonal difficulty.