After the auditor completes test of controls and draws conclusion about control risk, the auditor makes decisions about the nature, timing, and extent of _______.

	A.	substantive testing
	B.	sampling risk
	C.	non-sampling risk
	D.	control exception

The greater the amount of difference between tolerable deviation rate and expected deviation rate, _______.

	A.	the smaller the population being sampled should be
	B.	the larger the sample size
	C.	the lower any statistical variance should be
	D.	the smaller the sample size

The COSO Framework identifies three objectives of internal control that allow organizations to focus on the differing purposes of internal control. One of these is ________.

	A.	internal control analysis
	B.	compliance objectives which pertain to adherence to laws and regulations to which the entity is subject
	C.	risk of material misstatement
	D.	client acceptance and continuance

Once risks are identified, auditors assess the risk of material misstatement at the _______ level for these significant classes of transactions and account balances.

	A.	financial statement
	B.	relevant assertion level
	C.	disclosure
	D.	account

A deficiency in internal controls is described as ________.

	A.	a combination of deficiencies in internal control which are as severe as material weaknesses
	B.	a deficiency that has created a reasonable possibility of a material misstatement
	C.	a deficiency in the design or operation of a single control that does not allow management to prevent and correct misstatements on a timely basis
	D.	a deficiency, or combination of deficiencies in internal control