When There Is a Significant Risk That an Account Will

question 8

Multiple Choice

When there is a significant risk that an account will be misstated and the client's system of internal controls is not considered effective at reducing that risk,

• A) less high quality evidence is gathered when conducting substantive tests.
• B) detection risk is set as high.
• C) detection risk is set as low.
• D) none of the above

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Definitions:

Hard Copy

A physical printed version of a document, as opposed to a digital file.

Contextual Spelling Error

A mistake in spelling that occurs when a word is spelled correctly but used incorrectly in context.

Wavy Underline

Highlighting often used in word processing software to indicate a potential spelling or grammar error.

Message List

A display or compilation of emails or messages within an application, typically organized in chronological order or by relevance.