Answer:
The key considerations when evaluating the severity of a deficiency in a control that directly addresses a risk of material misstatement include:
1. The likelihood of the deficiency leading to a misstatement of the financial statements.
2. The materiality of the misstatement that could result from the deficiency.
3. The complexity of the control and the difficulty of remedying the deficiency.
4. The level of expertise required to identify and address the deficiency.
5. The potential for the deficiency to be exploited by management or others.
6. The potential for the deficiency to be repeated in subsequent periods.
7. The ability of management to detect and correct misstatements that may result from the deficiency.
8. The impact of the deficiency on the overall effectiveness of the control.
Step-by-step explanation: