When auditing accounts payable, auditors typically set tolerable error relatively high.

Name: When auditing accounts payable, auditors typically set tolerable error relatively high.
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This is because accounts payable often involves a large number of transactions, some of which may be immaterial, so auditors set a higher tolerable error to reduce the amount of time and resources needed to perform substantive testing on every transaction.

When Auditing Accounts Payable, Auditors Typically Set Tolerable Error Relatively