Question 5

In order for the auditor to reduce detection risk (and therefore audit risk) what must the auditor do?

I.	Perform additional appropriate sufficient substantive procedures.
II.	Reconsider their evaluation of control risk.
III.	Reconsider their evaluation of both control risk and inherent risk.
IV.	Ask for additional audit fees to expand the scope of their audit.

Question 8

One audit procedure commonly used is Ratio Analysis. How is this procedure useful to the audit process?

I.	Identifying significant differences between client results and an industry norm.
II.	Identifying potential audit issues when ratios change between years.
III.	Exposing management fraud.
IV.	Both i. and ii.