In Evaluating This Sample,the Auditor Decided to Increase the Level

question 74

Multiple Choice

In evaluating this sample,the auditor decided to increase the level of the preliminary assessment of control risk because the:

• A)Tolerable rate of deviation (7%)was less than the upper limit rate of deviation (8%).
• B)Expected population deviation rate (7%)was more than the percentage of errors in the sample (3.5%).
• C)Expected population deviation rate (2.5%)was less than the tolerable rate of deviation.
• D)Upper limit rate of deviation (8%)was more than the percentage of errors in the sample (3.5%).

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Definitions:

Extrinsic Rewards

Benefits provided by an external source as motivation for performing a specific task, such as money, praise, or awards.

Burnout

A state of physical, emotional, and mental exhaustion caused by prolonged and intense stress.

Employee Turnover

The rate at which employees leave a company and are replaced by new hires, impacting the organization's operations and culture.

Financially Plan

The practice of managing one's finances through budgeting, saving, investing, and planning for future financial needs and goals.