The Audit Strategy for a Client with High Inherent Risk

question 50

Multiple Choice

The audit strategy for a client with high inherent risk and high control risk will include

• A) no or very limited tests of controls.
• B) decreased reliance on substantive tests.
• C) increased testing of controls.
• D) increased reliance on controls.

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Definitions:

Squalid Shacks

Poorly built and maintained small houses, often in a state of dirtiness and disrepair, associated with extreme poverty or lack of housing.

Legal Action

The process of using formal legal procedures and courts to resolve disputes, enforce laws, or seek justice.

Direct Action

A form of political or social activism that seeks immediate remedy to perceived injustices, often through methods outside of institutional channels.

NAACP

The National Association for the Advancement of Colored People is a civil rights organization in the United States, formed in 1909, aimed at advocating for the rights and improving the lives of African Americans.