The Auditor Is Required to Document His Response to the Assessed

question 107

Multiple Choice

The auditor is required to document his response to the assessed risk of material misstatement.This documentation should include

• A)the results of audit procedures,including the analytical procedures designed to address the risk of management override of internal controls
• B)the overall response to the assessed risk of material misstatement due to fraud at the financial statement level and the nature,timing,and extent of audit procedures at the assertion level and a linkage between the audit procedures and the assessed risk of material misstatement
• C)other conditions and analytical procedures that cause the auditor to believe that additional auditing procedures were appropriate to address the risk of material misstatement due to fraud
• D)the significant decisions during the discussion among management regarding the susceptibility of the company's financial statements to material misstatement due to fraud
• E)the identified and assessed risks of material misstatement at both the financial statement level,and the procedures performed to obtain the information
• F)both A and B
• G)both B and C
• H)both C and D

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Definitions:

Psychosocial Needs

The requirements essential for the psychological and social well-being of individuals, including love, belonging, esteem, and self-actualization.

Suppressing Creative

Act of deliberately hindering or holding back creative thought or expression.

Personal Skills

Abilities or competencies that relate to the way individuals manage or direct their actions in both social and professional situations.

Chronological Age

The amount of time that has passed from a person's birth to a specific date, measured in years, months, and days.