The extent of substantive tests for an assertion in relation to the assessed level of inherent risk varies in a relationship that is ordinarily:
A)opposite.
B)inverse.
C)direct.
D)unequal.

Question

Quizplus · Accepted Answer

The extent of substantive tests for an assertion in relation to the assessed level of inherent risk varies in a direct relationship. This means that as the assessed level of inherent risk increases, the extent of substantive tests typically increases as well, to provide sufficient appropriate audit evidence.

The Extent of Substantive Tests for an Assertion in Relation