Question: An auditor has identified that their client operates in a highly competitive industry where consumers differentiate products on the basis of technological innovation rather than

An auditor has identified that their client
An auditor has identified that their client operates in a highly competitive industry where consumers differentiate products on the basis of technological innovation rather than price. Which of the following mum describes the impact that this will have on the auditor's assessment of inherent risk? A. Inherent risk for the assertion of completeness for Provision for Warranty Claims will be highen B. Inherent risk for the assertion of completeness for Research and Development expenditure will be lower; 1 Av B_I Iv EElE $5.25 @- Enter your response (either A or B): Explain why the response selected is correct: Explain why the alternate response Ia incorrect

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