Acceptable risk of assessing control risk too low (ARO)and allowable risk of incorrect acceptance (ARIA)are inversely related; that is, a decrease in ARO is accompanied by an increase in ARIA.

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This statement is true. The acceptable risk of assessing control risk too low (ARO) and the allowable risk of incorrect acceptance (ARIA) are inversely related, meaning that as one decreases, the other increases. This is due to the fact that if a lower ARO is chosen, there is less room for error, and therefore the allowable risk of incorrect acceptance must be higher to compensate.

Acceptable Risk of Assessing Control Risk Too Low (ARO)and Allowable