An auditor assesses the risk of material misstatement because it a. is relevant to the auditor's understanding of the control environment. b. provides assurance that the auditor's overall materiality levels are appropriate. c. indicates to the auditor where inherent risk may be the greatest. d. affects the level of detection risk that the auditor may accept.

Barbara flynn is in charge of maintaining hospital supplies at general hospital. during the past year, the mean lead time demand for bandage bx-5 was 65 (and was normally distributed). furthermore, the standard deviation for bx-5 was 6. ms. flynn would like to maintain a 90% service level. refer to the standard normal table for z-values. a) what safety stock level do you recommend for bx-5? safety stock=)what is the appropriate reorder point? reorder point=