When the auditor concludes there is a risk of material misstatement due to fraud, auditing standards do not require to automatically treat those risks as significant risks.

Question

Quizplus · Accepted Answer

Auditing standards require auditors to treat risks of material misstatement due to fraud as significant risks, necessitating a higher level of scrutiny and response in the audit process.

When the Auditor Concludes There Is a Risk of Material