Which of the Following Statements Is

question 30

Multiple Choice

Which of the following statements is ?

• A)There is no relation between the auditor's assessed risk of material misstatement and detection risk.
• B)If detection risk is high,significant substantive procedures are necessary to reduce detection risk.
• C)There is an inverse relation between the auditor's assessed risk of material misstatement and detection risk.
• D)If detection risk is low,only a small number of substantive procedures are necessary to reduce the detection risk.

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Definitions:

Industry Subsector

A specific, defined part of a broader industry, characterized by a unique set of products, services, or manufacturing processes.

NAICS

The North American Industry Classification System is a norm employed by Federal statistical bodies to categorize business entities.

Triclosan

An antimicrobial and antifungal agent found in some consumer products, including toothpaste and hand sanitizer, which has raised health and environmental concerns.

Antibacterial Agent

A substance that kills or inhibits the growth of bacteria, widely used in healthcare products, cleaning supplies, and personal care items.