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Below are 4 scenarios that involve the audit risk model: Scenario 1 Scenario 2 Scenario 3 Scenario 4 Audit Risk 5% 5% 3% 3% Inherent
Below are 4 scenarios that involve the audit risk model:
Scenario 1 | Scenario 2 | Scenario 3 | Scenario 4 | |
Audit Risk | 5% | 5% | 3% | 3% |
Inherent Risk | 100% | 90% | 50% | 75% |
Control Risk | 90% | 60% | 90% | 75% |
Which scenario will require the least amount of audit evidence?
Scenario 1 | ||
Scenario 2 | ||
Scenario 3 | ||
Scenario 4 |
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