Why Do Auditors Establish a Preliminary Judgment About Materiality

question 110

Multiple Choice

Why do auditors establish a preliminary judgment about materiality?

• A)To determine the appropriate level of staff to assign to the audit
• B)So that the client can know what records to make available to the auditor
• C)To help plan the appropriate evidence to accumulate
• D)To finalize the control risk assessment

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Definitions:

Openers

Phrases or sentences used at the beginning of a piece of writing or speech designed to engage the audience and set the tone.

Community

A group of interacting living organisms sharing a populated environment, typically considered within a specific geographical area.

Ecosystem

An ecosystem consists of living entities and their inanimate environmental elements, working together as a unified system.

Biosphere

All regions of Earth where organisms live.