By Setting a Lower Planning Materiality Level an Auditor

question 16

Multiple Choice

By setting a lower planning materiality level an auditor:

• A)Decreases their sensitivity to a potential misstatement.
• B)Decreases the quality and quantity of evidence that needs to be gathered.
• C)Can be certain that they will detect all instances of fraud that have occurred.
• D)Increases the quality and quantity of evidence that needs to be gathered.

---

Definitions:

Biogeochemical Cycle

A natural process involving the circulation and transformation of chemicals in the Earth's ecosystems.

Food Webs

Complex networks of predators and prey showing the feeding relationships between organisms within an ecosystem.

Carbon Cycle

The series of processes by which carbon compounds are interconverted in the environment, chiefly involving the incorporation of carbon dioxide into living tissue by photosynthesis and its return to the atmosphere through respiration, decay of organisms, and the burning of fossil fuels.

Trophic Levels

The levels in an ecosystem, representing a step in the food chain or food web, characterized by organisms that share the same function in the food chain and the same nutritional relationship to the primary sources of energy.