Question $4$

An engagement team is determining high$-$risk criteria while designing procedures to perform over journal entries.

The following is an example of which factor to consider when determining highrisk criteria?

There is an indication that journal entries were used to record transactions related to a business combination.

Joumal entries and other adjustments processed outside the normal course of business.

The effectiveness of control activities over journal entries and other adjustments.

The entity's financial reporting process and the nature of evidence that can be examined.

The nature and complexity of accounts.