Auditors will assess the risk of fraud by considering _______.
A)fraud risk factors that may not be present, such as pressure and opportunities for management to commit fraud
B)fraud risk factors that may be present, such as pressure and opportunities for management to commit fraud
C)fraud risk factors that may be present, such as a lack of pressure and opportunities for management to commit fraud
D)management's opinion and statements on whether fraud is occurring or not

Question

Quizplus · Accepted Answer

Auditors will assess the risk of fraud by considering fraud risk factors that may be present, such as pressure and opportunities for management to commit fraud. This is in contrast to A (which suggests considering fraud risk factors that may not be present) and C (which suggests considering a lack of pressure and opportunities for fraud, which would not be considered risk factors). D is not a reliable source for determining the existence of fraud, as management may not disclose or may be unaware of fraudulent activity.

Auditors Will Assess the Risk of Fraud by Considering _______