Detection of fraud is integral to the audit function.The best reason for this is that:
A)unless auditors can provide assurance that the financial statements are free of material misstatements due to fraud,there is no justification for the audit function.
B)the AICPA has mandated that the auditor take on more responsibility than previously required because of management's demand for fraud finding.
C)it is the responsibility of the auditor to provide internal control over a client organization sufficient to discover or prevent fraud from occurring.
D)auditor fraud is a large concern of shareholders and the audit committee must continually monitor the auditors to ensure they are not misstating financial statements.

Question

Quizplus · Accepted Answer

The primary reason for detecting fraud is to provide assurance that the financial statements are free of material misstatements due to fraud. This is the core function of an audit, and without it, there is no justification for the audit function. The other choices are either partially correct or not relevant to the question.

Detection of Fraud Is Integral to the Audit Function