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Author Question: Acceptable audit risk and acceptable risk of incorrect acceptance are inversely related; that is, as ... (Read 21 times)

jenniferbaugh1984

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on: Aug 21, 2022

Question 1

You are auditing Raji and Company. You discover an item of inventory with an audited value of $5,000 with a recorded amount of $3,000. If this is the only error you discover, the projected misstatement for the sample would be
◦ $5,000.
◦ $2,000.
◦ $3,000.
◦ $4,000.

Question 2

Acceptable audit risk and acceptable risk of incorrect acceptance are inversely related; that is, as AAR increases, ARIA decreases.
◦ true
◦ false
Auditing and Assurance Services ¦ Arens, Elder, Beasley, Hogan ¦ 17th Edition
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Marked as best answer by jenniferbaugh1984 on Aug 21, 2022

StephaniaF

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Reply #1 on: Aug 21, 2022
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jenniferbaugh1984

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Reply 2 on: Aug 21, 2022
Wow, this really help

mjenn52

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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