Inherent risk is often high for an account such as:
A) inventory.
B) land.
C) cash.
D) notes payable.

Question

Quizplus · Accepted Answer

Inventory is often subject to risk factors such as obsolescence, theft, and inaccurate valuation, making inherent risk higher. Land typically has lower inherent risk as its value is more stable and predictable. Cash and notes payable also have lower inherent risk as they are more easily quantifiable and less subject to uncertainty.

Inherent Risk Is Often High for an Account Such As