What is inherent risk, Financial Management

What is Inherent risk

Susceptibility  of  an  account  balance  or  class  of  transactions  to  material  misstatement either  individually  or  when  aggregated  with misstatement  in  other  classes or  balances  , irrespective of related internal controls.

 

Posted Date: 9/3/2013 3:23:15 AM | Location : United States







Related Discussions:- What is inherent risk, Assignment Help, Ask Question on What is inherent risk, Get Answer, Expert's Help, What is inherent risk Discussions

Write discussion on What is inherent risk
Your posts are moderated
Related Questions
What are some of the factors that common stockholders consider when deciding how much, if any, cash dividends they desire from the corporation in which they have invested? Gene

Dividend Payout Ratio The percentage of earnings or profit paid to shareholders in dividends. Computed as:   The payout ratio gives an idea about how well earning

What are the negative consequences of a company holding too much cash? A company holding in excess of cash would be giving up the opportunity to invest more in income producing

Why do we focus on cash flows instead of profits when evaluating proposed capital budgeting projects? We focus on cash flows at the place of profits when evaluating proposed ca

Under what circumstances will the foreign subsidiary’s financial structure become relevant? The subsidiary’s own financial structure will become applicable when the parent firm

Q. Degree of uncertainty in predicting cash balances? Probability approaches identify a degree of uncertainty in predicting cash balances and allow for a range of outcomes to

The United States has experienced continuous current account deficits as the early 1980s. What do you think are the major causes for the deficits? What would be the results of cont

Suggestion regarding credit limit. should it be approved or not, what should be the amount of credit limit that electronics give to booth plastics

How can the FX futures market be used for price discovery? Answer:  To the amount that FX forward prices are an unbiased predictor of future spot exchange rates, the market antic

Directors and managers While directors and managers are in concentrate attempting to promote and balance the interests of shareholders and other stakeholders it has been argued