In the audit risk model, audit sampling applies to:
A) detection risk.
B) inherent risk and control risk.
C) control risk and detection risk.
D) inherent risk and detection risk.
E) control risk.

Question

Quizplus · Accepted Answer

Audit sampling applies to inherent risk and detection risk because it is used to assess the likelihood that material misstatements will occur (inherent risk) and the likelihood that those misstatements will not be detected by the auditor's procedures (detection risk).

In the Audit Risk Model, Audit Sampling Applies To