Incorrect acceptance is directly related to
A)the efficiency of the audit.
B)the ineffectiveness of the audit.
C)the cost of the audit.
D)all of the above.

Question

Quizplus · Accepted Answer

Incorrect acceptance means the auditor has accepted the financial statements as true and correct when in fact they contain material misstatements. This reflects the ineffectiveness of the audit, as the auditor was unable to detect such misstatements. It does not directly affect the efficiency or cost of the audit.

Incorrect Acceptance Is Directly Related to