To Evaluate a Misstatement Found in the Substantive Test of Transactions,the

question 37

Multiple Choice

To evaluate a misstatement found in the substantive test of transactions,the auditors will

• A)increase substantive testing of transactions to mitigate the misstatement
• B)increase tests of controls to mitigate the misstatement
• C)consider whether the misstatement is representative of a misstatement to be found in the entire population
• D)consider whether the misstatement is representative of fraud in the entire population

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Definitions:

External Reward

Relates to incentives or rewards that come from an outside source, rather than from within, and motivate behavior.

Consummate Love

According to Sternberg’s theory, the most complete form of love, consisting of all three components—intimacy, passion, and commitment.

Sternberg

Refers to Robert Sternberg, an American psychologist known for his theories on intelligence, creativity, love, and wisdom.

Components of Love

The different elements that contribute to the experience of love, traditionally outlined as intimacy, passion, and commitment.