If the auditor's test of controls supports the control risk assessment, planned detection risk in the audit risk model is decreased, and planned substantive tests should therefore be reduced.

Question

Quizplus · Accepted Answer

If the auditor's test of controls supports the control risk assessment, it means the controls are effective, allowing for a higher detection risk and potentially reducing the extent of substantive tests.

If the Auditor's Test of Controls Supports the Control Risk