Response to the following questions:
1. Auditors have not been successful in measuring the components of the audit risk model. How is it possible to use the model in a meaningful way without a precise way of measuring the risk?
2. Explain the circumstances when the auditor should revise the components of the audit risk model and the effect of the revisions on planned detection risk and planned evidence.
3. Explain how audit risk and materiality are related and why they need to be considered together in planning an audit.