© 2008 Prentice Hall Business Publishing Accounting Information Systems, 11/e Romney/Steinbart
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THE NATURE OF AUDITING
Reasonable assurance is somewhat of a cost-benefit notion.
It is prohibitively expensive for the auditor to seek complete assurance that no material error exists, so he must accept risk that the audit conclusion is incorrect.
Therefore he seeks reasonable assurance, as opposed to absolute assurance.
Note that when inherent or control risk is high, the auditor must obtain greater assurance to offset the greater uncertainty and risks.