TENEO INTERNATIONAL SCHOOL     SUBJECT: iSCIENCE…

  TENEO INTERNATIONAL SCHOOL     SUBJECT: iSCIENCE     YEAR: 8     DATE: 8 JULY 2021     TIME: 85 MINUTES WRITING TIME + 5 MINUTES SUBMISSION + 10 MINUTES TECHNICAL TIME     MARKS: 80     EXAMINER: R ISMAIL      MODERATOR: K GREEN         INSTRUCTIONS   1. The answers you provide to the question paper, must be your own, original work. No copying from any source is allowed. No marks will be awarded for work that is copied.   2. Read all the questions carefully.   3. Use the mark allocation as a guide to how much information is required in your answers.   4. You may use a calculator if necessary, but always show all working out.   5. This paper consists of two sections:  Section A: [20 marks] Section B: [60 marks]   6. Answer all the questions – do not leave any blank.  

Calculate the Risk of Material Misstatements and Detection R…

Calculate the Risk of Material Misstatements and Detection Risk (Rounded to the Nearest .01) for the following audit engagements:                                   Audit Risk              Inherent Risk                Control RiskCompany A                 0.05                              0.70                                 0.70    Risk of Material Misstatement     [answer1]            Detection Risk      [answer2]                                          Audit Risk              Inherent Risk                Control RiskCompany B                 0.01                              0.30                                 0.50    Risk of Material Misstatement     [answer3]              Detection Risk      [answer4]      What is a reasonable basis for Company A having a Higher Level of Audit Risk than Company B?    [answer6]   Given the information above, which engagement will require higher Auditor Effort in order to cover their acceptable level of Audit Risk? Company A or Company B?    [answer5]