Acceptablerisk of assessing control risk too high (ß, or type II error)
The risk that the sample results indicate that the population error rate is greater than the auditor's tolerable error rate when in fact the true population error rate is less than the auditor's tolerable error rate. Thus, the auditor says IC is not OK when it is actually OK. This decreases audit efficiency, as the auditor will expand substantive tests unnecessarily. We will not consider this risk further in this chapter. It is a type of acceptable risk of underreliance, and chapter 17 will refer to it as acceptable risk of incorrect rejection (ARIR).