As the Acceptable Level of Detection Risk Decreases, an Auditor

question 64

Multiple Choice

As the acceptable level of detection risk decreases, an auditor may change the:

• A)timing of substantive tests by performing them at an interim date rather than at balance date.
• B)assessed level of inherent risk to a higher amount.
• C)timing of tests of controls by performing them at several dates rather than at one time.
• D)nature of substantive tests from a less effective to a more effective procedure.

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Definitions:

Protectorate

A state or territory partially controlled and protected by a more powerful country but retaining some degree of internal autonomy.

Pro-Soviet Government

Governments or political regimes that were aligned with or supportive of the Soviet Union during the Cold War, often influenced by communist ideology.

Dumbarton Oaks

The site in Washington, D.C., where discussions were held in 1944 that led to the creation of the United Nations.

United Nations Organization

An international organization founded in 1945 to promote peace, security, and cooperation among countries worldwide.