When classifying risks as being significant, consideration is given to whether the risk involves all the following except involvement of _______.
A)very simple transactions
B)fraud
C)significant third parties
D)significant subjectivity in measurement

Question

Quizplus · Accepted Answer

The involvement of very simple transactions would not generally be a factor in classifying risks as significant. The other options listed (fraud, significant third parties, and significant subjectivity in measurement) would all be factors to consider in determining if a risk is significant.

When Classifying Risks as Being Significant, Consideration Is Given to Whether