Auditors Would Use the Enterprise Risk Model

question 60

Multiple Choice

Auditors would use the Enterprise Risk Model.

• A)To reduce the client's business risk
• B)To determine detection risk
• C)To evaluate management's risk assessment
• D)To monitor client risk

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Definitions:

Mortgage Lender

A financial institution or individual that provides loans to borrowers for the purpose of purchasing real estate, with the property serving as collateral.

Careless Finances

The mismanagement or negligent handling of personal or corporate finances.

Moral Hazard

The risk that one party to a contract can change their behavior to the detriment of another party once the contract has been concluded.

Monitoring Solution

A system or software implemented to oversee and analyze the performance, health, or behavior of networks, applications, or environments to ensure optimal operation.