Statement a. A CPA firm should attempt to achieve the same audit risk for all audit clients when circumstances are similar. Why is this statement true?

A. A CPA firm should attempt to use reasonable materiality from audit to audit when circumstances are similar. The only reasons for having a different audit risk in these circumstances are the use of considerable judgment on the part of the auditor and difficulties of measuring audit risk.

B. A CPA firm should attempt to use reasonable uniformity from audit to audit when circumstances are similar. Under no circumstances should a different audit risk be used by the auditor.

C. A CPA firm should attempt to use reasonable uniformity from audit to audit when circumstances are similar. The only reasons for having a different audit risk in these circumstances are the lack of consistency within the firm, different audit risk preferences for different auditors, and difficulties of measuring audit risk.

D. A CPA firm should attempt to use reasonable materiality from audit to audit when circumstances are similar. The only reasons for having a different audit risk in these circumstances are the use of considerable judgment on the part of the auditor and the discovery of fraudulent financial reporting during the audit.