Which of the following statements regarding risk assessment is correct? The risk of material misstatement is a function of detection risk and control risk. O A high assessment of detection risk will require a reduction in inherent risk. O An auditor's assessment of control risk at a low level can help to offset a higher level of inherent risk. O An auditor is required to assess the inherent risk, control risk, and detection risk within the client before beginning the audit. Which of the following statements regarding the risk of material misstatement is correct? o Only factual misstatements should be considered when making the assessment of risk and the determination of any adjustments that may need to be made. The risk that a material misstatement may occur due to complex calculations, faulty estimates, or high volume transactions is known as control risk. O Detection risk is the risk that a material misstatement will not be detected by the entity's internal controls. The risk of material misstatement includes the auditor's assessment of inherent risk as well as control risk