The audit risk model consists of: AR = IR x R x DR. The detection risk is the dependent variable. What is the acceptable level ofdetection risk if the assessed level of inherent risk is HIGH and the control risk is MEDIUM?   a. Higher b. Lower c. Lowest d. Medium

Q: Using a wrong formula for CAPM is a __  (select one) a. Erronous model risk b. Market data…

A: Introduction : In simple word, the capital asset pricing model (CAPM) is the valuation model used to…

Q: Please describe the difference between systematic and unsystematic risk. In doing so, provide 4…

A: a) Systematic Risk 1)Systematic Risk refers to risk associated with whole economy or a market…

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A: sample results may not be truly representative of a population due to: 1. Sampling risks 2. Sampling…

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Q: a. what it is b. where and when it is used by the auditor  c. how it affects the work of the auditor…

A: a. What it is The Audit Risk Model is a conceptual tool used by auditors to evaluate and manage the…

Q: risk remaining after management’s actions is

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A: Answer : D Both A&B

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A: Substantive procedure refers to a process performed by the auditor in order to detect the material…