Question: only need to answer c and d . thank u so much You are planning the audit of the account receivables for ABC Company. The
You are planning the audit of the account receivables for ABC Company. The risk assessment for the relevant balance-related assertions in the account receivables are listed below: Audit Risk Inherent Risk Control Risk Detection Risk Balance- Related Assertions Existence Accuracy and Valuation Classification Medium Low Medium High Medium Medium (i) (ii) Medium Low Low Required: a. Define each of the FOUR identified risks as listed in the columns of the above table. (4 marks) b. List out the answers (1) to (iii) (referring to the above table) regarding detection risk for each balance-related assertions using the terms low, medium, or high. (6 marks) c. Which audit assertion requires the greatest amount of evidence? Why? (3 marks) d. Which audit assertion requires the least amount of evidence? (2 marks)
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