The Possibility That a Material Error Will Occur Even Though

question 74

Multiple Choice

The possibility that a material error will occur even though auditors are following audit procedures and using good judgment is referred to as

• A)control risk.
• B)detection risk.
• C)inherent risk.
• D)investigating risk.

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Definitions:

External Causes

Factors or influences originating outside an individual that significantly affect behaviors, outcomes, or events.

Attribution

The process of explaining one's own behavior and the behavior of others by attributing causes to that behavior, whether internal dispositions or external situations.

Heider

refers to Fritz Heider, an Austrian psychologist recognized for his contributions to attribution theory in social psychology.

Social Neuroscience

A field that explores the neural, hormonal, cellular, and genetic mechanisms underlying the social structures, processes, and behaviors.