To address heightened risks of fraud, the auditor can do all of the following except:
A)use specialists to assist in evaluating the accuracy and reasonableness of management's key estimates.
B)decrease the amount of substantive tests.
C)use CL or IDEA to search for fictitious revenue transactions.
D)use EXCEL to perform analytical procedures at the disaggregated level.

Question

Quizplus · Accepted Answer

Decreasing the amount of substantive tests would not address heightened risks of fraud. In fact, it could increase the risk of undetected fraud. The other options listed would help to address the risks of fraud by utilizing specialized knowledge or technology to enhance audit procedures.

To Address Heightened Risks of Fraud, the Auditor Can Do