good question to demonstrate how Audit risk = inherent risk x control risk x detection risk Risk assessment process:
Risk of a material misstatement of recognized revenue is likely to be high due to which of the following?
A.
The significant judgment involved in the interpretation of the accounting principles surrounding revenue recognition.
B.
More transactions center around the revenue accounts than any other accounts in the chart of accounts.
C.
Both the significant judgment involved in the interpretation of the accounting principles surrounding revenue recognition, and more transactions center around the revenue accounts than any other accounts in the chart of accounts.
D.
Recognized revenue does not have a high risk of material misstatement.
