Match the Terms Below (A-H)with the Definitions Provided Below (1-8)

question 85

Short Answer

Match the terms below (a-h)with the definitions provided below (1-8):
a.Preliminary judgment about materiality
b.Inherent risk
c.Planned detection risk
d.Audit assurance
e.Acceptable audit risk
f.Performance materiality level
g.Control risk
h.Materiality
________ 1.A measure of the risk that audit evidence for a segment will fail to detect misstatements exceeding the performance materiality amount,should such misstatements exist.
________ 2.A measure of the auditor's assessment of the likelihood that misstatements exceeding a performance materiality in a segment will not be prevented or detected by the client's internal controls.
________ 3.A measure of how much risk the auditor is willing to take that the financial statements may be materially misstated after the audit is completed and an unqualified audit opinion has been issued.
________ 4.The materiality allocated to any given account balance.
________ 5.The maximum amount by which the auditor believes that the statements could be misstated and still not affect the decisions of reasonable users.
________ 6.This term is synonymous with acceptable audit risk.
________ 7.The magnitude of an omission or misstatement of accounting information that makes it probable that the judgment of a reasonable person would have been changed.
________ 8.A measure of the auditor's assessment of the likelihood that there are material misstatements before considering the effectiveness of internal control.

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Definitions:

Group Worksheet Data

Organizing related data into a group within a spreadsheet to facilitate analysis and reporting.

Hide Outline

An option in some software applications to remove the visible outline or structure from view, typically used to declutter the visual presentation.

ScreenTip

A small pop-up description that appears when a user hovers over an item or icon in a software interface.

Hyperlink

A clickable reference or navigation element in a document or web page that directs the user to another section of the document or to an entirely different document or website.