How do auditors use their knowledge about the risk of material misstatement in developing an audit approach?

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How do auditors use their knowledge about the risk of material misstatement in developing an audit approach? Comment on extensiveness of testing, types of audit procedures, and the rigor of audit procedures in higher versus lower risk settings (e.g., for an assertion with a higher risk of material misstatement versus an assertion with a lower risk of material misstatement).

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Auditing A Risk Based-Approach

ISBN: 978-1337619455

11th Edition

Authors: Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

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