For each situation (down the left side), select the type of risk (across the top) that is BEST illustrated. [1 point each]

			Engagement Risk	Business Risk	Control Risk	Detection Risk	Audit Risk	Inherent Risk
During the auditors review of the clients 1st quarter financial statements, the auditor discovers an error in inventory that results in a material misstatement to the prior year-end financial statements. The auditor had just wrapped up the prior-year audit and issued an unqualified (clean) financial statement opinion.
The auditor samples 10% of the year-end accounts receivable customer balances. The auditor finds no material misstatements, yet this sample was not representative of the population of receivables.
The client has not implemented procedures to regularly assess the valuation of obsolete inventory, thus increasing the likelihood of a material misstatement in the inventory balance.
The client enters into a joint venture with its major supplier.