Which Item Is Correct Concerning the Risk of Material Misstatement

question 82

Multiple Choice

Which item is correct concerning the risk of material misstatement?

• A)Risk of material misstatement arises because audit procedures have been misapplied.
• B)Risk of material misstatement can be controlled and changed by the auditor.
• C)Risk of material misstatement must be assessed in non-quantitative terms.
• D)Risk of material misstatement is controllable by the client.

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Definitions:

President Lincoln

Abraham Lincoln, the 16th President of the United States (1861-1865), known for leading the country during the Civil War and issuing the Emancipation Proclamation.

Union War Effort

The collective measures and actions taken by the Northern states during the American Civil War, including raising armies, procuring supplies, and managing resources to defeat the Confederacy.

Civil War

In the United States, refers to the conflict between the Northern states (Union) and the Southern secessionist states (Confederacy) from 1861 to 1865, primarily over issues of slavery and states' rights.

Northern Society

A secret revolutionary organization in the early 19th century in Russia, which aimed at overthrowing the autocracy and implementing constitutional reforms.