how does the auditor affect detection risk and consequently control audit risk?

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Answer 1

Answer #1

Audit risk = Inherent risk*Control risk*Detection risk

Detection risk is primarily occurred because of sample taken while auditing. Higher the sample, lower the detection risk and vice versa.

So auditor, control the audit risk by increasing the number of sampled transactions for detailed testing. This will help in controlling audit risk.

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Answer 2

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