Which of the following statements is about audit risk?
A)Audit risk can be reduced at the planning stage of an audit by identifying the key risks faced by the client.
B)Audit risk is the risk that an auditor expresses an inappropriate opinion when a financial report is materially stated.
C)It is impossible to completely eliminate audit risk.
D)All of the above.

Question

Quizplus · Accepted Answer

All statements are correct regarding audit risk. A) Identifying key risks during planning helps reduce audit risk. B) Audit risk involves the chance of giving an incorrect opinion on materially misstated financial statements. C) It's acknowledged that audit risk cannot be entirely eliminated.

Which of the Following Statements Is About Audit Risk