How would increases in tolerable misstatement and assessed level of control risk affect the sample size in a substantive test of details?
Decrease sample size
Increase sample size
Choice "D" is correct. An increase in tolerable misstatement results in a smaller sample size. An increase in the assessed level of control risk leads to an increase in sample size. Choices "c", "b", and "a" are incorrect, per the above explanation.
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