In Planning the Audit,the Auditor Makes Decisions About the Size

question 67

Multiple Choice

In planning the audit,the auditor makes decisions about the size of misstatements that will be considered material.These decisions allow the auditor to

• A)determine the nature,timing,and extent of risk assessment procedures
• B)identify and assess the risk of misstatement
• C)determine the nature,timing,and extent of internal control procedures
• D)establish an amount below which misstatements will always be evaluated as immaterial
• E)A and D

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Definitions:

Financial

Relating to money or how money is managed.

Performance Perspectives

Frameworks or viewpoints for assessing an organization's performance, often including financial, customer, internal processes, and learning/growth aspects.

Strategy Maps

Visual representations that illustrate the key objectives and their relationships within an organization's strategy.

Measure Maps

Measurement maps, often referred to in the context of geographical information systems (GIS), involve tools or methods for analyzing and representing spatial data through maps.