Discuss the effect of the following identified risk on: Risk of Material Misstatement, Detection Risk, and the overall audit effort: Apollo's sales manual requires that orders greater than $10,000 require additional authorization. However, no list of appropriate approvers is maintained.
A. Impact on Material Misstatement: High, Detection Risk: Low, Overall Audit Effort: Moderate
B. Impact on Material Misstatement: Low, Detection Risk: High, Overall Audit Effort: Low
C. Impact on Material Misstatement: Moderate, Detection Risk: Moderate, Overall Audit Effort: High
D. Impact on Material Misstatement: Low, Detection Risk: Moderate, Overall Audit Effort: High