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following acceptable accounting framework helps clients prepares FS with certain standards such a complete, un biased and accurate. If the client is using acceptable framework then chances material misstatement is low hence the audit risk. is this correct?
The correct term is “financial reporting framework” and that this should be acceptable is a precondition of an audit (see top of page 47 of the notes).
This is more fundamental than consideration of audit risk.
As per the last point in s.4 on that same page – if not acceptable, the financial reporting framework will not provide “suitable criteria” – and if there aren’t suitable criteria, you are missing one of the five elements of an assurance engagement (page 6 of the notes).
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