When you audit a company, your main goal is to provide assurance to the users of the company’s financial statements that those documents are free of material misstatement. You use the audit risk model, which consists of inherent, control, and detection risk on your client’s financial statements.

When you audit a company, your main goal is to provide assurance to the users of the company’s financial statements that those documents are free of material misstatement. You use the audit risk model, which consists of inherent, control, and detection risk on your client’s financial statements.

‘Audit risk’ here does refer to________________.
A . process of auditing
B . loss from litigation
C . adverse publicity
D . events arising in connection with the audit of financial statements

View Answer

Answer: A