The preliminary judgment about materiality and the amount of audit evidence accumulated are ________ related.
Auditors generally allocate the preliminary judgment about materiality to the:
If an auditor establishes a relatively high level for materiality, then the auditor will:
Auditors frequently refer to the terms audit assurance, overall assurance, and level of assurance to refer to ________.
Auditors typically rely on internal controls of their private company clients:
Why do auditors establish a preliminary judgment about materiality?
Inherent risk and control risk:
As the risk of material misstatement increases, detection risk should:
When management has an adequate level of integrity for the auditor to accept the engagement but cannot be regarded as completely honest in all dealings, auditors normally:
As the acceptable level of detection risk increases, an auditor may change the:
When the auditor is attempting to determine the extent to which external users rely on a client's financial statements, they may consider several factors except for:
When auditors allocate the preliminary judgment about materiality to account balances, the materiality allocated to any given account balance is referred to as:
If it is probable that the judgment of a reasonable person will be changed or influenced by the omission or misstatement of information, then that information is, by definition of FASB Statement No. 2:
When taken together, the concepts of risk and materiality in auditing:
Inherent risk is ________ related to detection risk and ________ related to the amount of audit evidence.