Question: Acceptable audit risk and inherent risk are related to planned detection risk, which then determines planned audit evidence. Critically discuss assessment of both acceptable audit

Acceptable audit risk and inherent risk are related to planned detection risk, which then determines planned audit evidence. Critically discuss assessment of both acceptable audit risk and inherent risk, and their relationship to planned detection risk [direct vs inverse relationship]. Provide relevant examples to illustrate your arguments.

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An audit risk model is a conceptual device used by auditors to analyse and modify the multiple risks that arise from performing an audit engagement The device assists the auditor in determining the ki... View full answer

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