When the Assessment of Inherent and Control Risk Is Low

question 12

Multiple Choice

When the assessment of inherent and control risk is low:

• A) the level of substantive procedures is limited.
• B) there are lots of controls that have been tested and found to be effective.
• C) both a and b.
• D) none of the above.

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Definitions:

Surprise and Stress

A state of unexpected occurrences impacting mental or physical strain and changes in the body or behavior.

Paradox of Minority Influence

A phenomenon where a smaller number within a group can influence the opinions or behaviors of the majority despite their smaller status.

Accentuation Effect

A cognitive bias that involves exaggerating differences between members of distinct groups while minimizing differences within those groups.

Social Impact

The effect that individuals, organizations, or activities have on the well-being of a community or society at large.