Which one of the following is among the three components of audit risk?
A) incurrence risk
B) occurrence risk
C) rejection risk
D) acceptance risk
E) control risk

Question

Quizplus · Accepted Answer

Control risk is one of the three components of audit risk, alongside inherent risk and detection risk. Control risk pertains to the risk that a misstatement that could occur in an account balance or class of transactions and that could be material, either individually or when aggregated with misstatements in other balances or classes, will not be prevented, or detected and corrected, on a timely basis by the entity's internal control.

Which One of the Following Is Among the Three Components