Planned Detection Risk Assignment | Top Universities

Required: Complcte Problem 1 (first tab) and Problem 2 (sccond tab) bcforc submitting this assignment. AUDIT RISK MODEL 5 Instructlons:

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The following arc asscssmcnts havc bccn madc by thc auditors on 8 diffcrcnt audit cngagcmcnts; using thc 6 Audit Risk Model formula, calculate the planned detection risk and then determine the audit approach and the level of 7 evidence (work lo be perfurmed) thal would be appropriale fur the derived deleclion risk: 9 Audit Risk Model Components: Audit 1 Audit 2 Audit 3 Audit 4 Audit Audit Audit Audit 10 Inherent Risk 80.0% 30.0% 40.0% 50.0% 50.0% 70.0% 90.0% 100.0% 70.0% 11 Cuntrol Risk 50.0% 100.0% 60.0% 100.0% 70.0% 80.0% 100.0% 12 Audit Risk 5.0% 5.0% 5.0% 5.0% 1.0% 1.0% 1.0% 1.0% 13 Dctcction Risk Audit Approach: Based on the Delection Risk you derived, enter “CR” for Controls Rcliancc approach OR enter “SO” for a Substantive Only 11 approach —> Tevel of evidence (Quantiry and/or Quality): Enter Low, Moderate, or 15 High – 16. Get Accounting Homework Help Today.

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