010U UC Le du TSR taken. f. In analyzing the audit risk model, it is important to understand that much of it is judgmental. For example, setting audit risk is judgmental, and assessing inherent and control risk is judgmental. 7-23 LO 3 Refer to Exhibit 7.4 and consider the audit risk model, whereby Audit Risk = Inherent Risk X Control Risk x Detection Risk. Com- plete the boxes in the table below. Describe generalizations about the relationships among the components of the audit risk model that you gain from the completed table. In which case will the auditor perform the greatest amount of substantive audit work? Inherent Risk Control Risk Audit Risk Detection Risk Case 1 Case 2 Case 3 30% 40% 50% 50% 100% 60% 5% 5% 5% ? ? ? Case 4 Case 5 Case 6 50% 70% 80% 100% 70% 70% 5% 1% 1% ? ? ? Case 7 Case 8 90% 100% 80% 100% 1% 1%