If auditors assess control risk at the maximum level, they will tend to:
A)perform a great deal of additional tests of controls.
B)perform a great deal of substantive testing during the audit.
C)perform substantive tests at an interim date.
D)perform more audit procedures using internal evidence.

Question

Quizplus · Accepted Answer

When auditors assess control risk at the maximum level, they believe that the client's internal controls are not effective in preventing or detecting material misstatements. Therefore, they will rely more on substantive testing to obtain sufficient and appropriate audit evidence. This means that auditors will perform a great deal of substantive testing during the audit to assess the accuracy and completeness of the financial statement balances and transactions.

If Auditors Assess Control Risk at the Maximum Level, They