Risk in auditing means that the auditor accepts some level of uncertainty in performing the audit function.An effective auditor will
A)take any means available to reduce the risk to the lowest possible level.
B)set the risk level between 5% and 10%.
C)perform the audit procedures first and quantitatively set the risk level before forming an opinion and writing the report.
D)recognize that risks exist and deal with those risks by performing high quality audits.

Question

Quizplus · Accepted Answer

Risk is inherent in any audit, and it is impossible to eliminate it entirely. The auditor's responsibility is to identify and assess the risks, and then design and perform audit procedures to obtain sufficient and appropriate evidence to reduce the risks to an acceptable level. Therefore, D is the best choice because an effective auditor needs to recognize the existence of risks and deal with them by performing high-quality audits.

Risk in Auditing Means That the Auditor Accepts Some Level