Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Assume the auditor has made his preliminary assessment of control risk and has assessed inherent risk. Upon testing the internal controls, it turns out the
Assume the auditor has made his preliminary assessment of control risk and has assessed inherent risk. Upon testing the internal controls, it turns out the auditor must increase his assessment of control risk. As a result, A) tolerable detection risk will be higher than it would have been under the preliminary assessment of control risk B) inherent risk will be lower than it would have been under the preliminary assessment of control risk C) tolerable detection risk will be lower than it would have been under the preliminary assessment of control risk D) inherent risk will be higher than it would have been under the preliminary assessment of control risk
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started