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Question 7: When performing risk assessment procedures and related activities to obtain an understanding
of the entity and its environment, including the entity's internal control, required by ISA 315, the
auditor shall perform certain procedures to obtain information for use in identifying the risks of
material misstatement due to fraud.
Which of the following is not a part of an entity's risk assessment process?
A. Identify relevant business risks
B. Assess the likelihood of occurrence
C. Decide upon actions to manage the risks
D. Report the process to the auditors
Correct Answer: D
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