Which of the Following Statements Is True

Multiple Choice

Which of the following statements is true?

A) The risk that material misstatement will not be prevented or detected on a timely basis by internal controls can be reduced to zero by effective control activities.
B) Cash is more susceptible to theft than an inventory of coal because it has a greater inherent risk.
C) Detection risk is a function of the efficiency of an auditing procedure.
D) The existing levels of inherent risk, control risk and detection risk can be changed at the discretion of the auditor.