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NEW QUESTION: 1
An auditor uses the knowledge provided by the understanding of internal control and the final assessed
risk of material misstatement primarily to determine the nature, timing, and extent of the:
A. Tests of controls.
B. Attribute tests.
C. Compliance tests.
D. Substantive tests.
Answer: D
Explanation:
Explanation/Reference:
Explanation:
Choice "D" is correct. An auditor uses the knowledge provided by the understanding of internal control and
the final assessed risk of material misstatement primarily to determine the nature, timing, and extent of the
substantive tests to be performed.
Choices "A", "B", and "C" are incorrect. Attribute tests, compliance tests, and tests of controls are all tests
that assist the auditor in assessing control risk and determining the final assessed risk of material
misstatement, not the other way around.
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Answer: A
NEW QUESTION: 3
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D. S824
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