According to Professional Audit Standards, How Might an Understanding of the Nature

question 41

Multiple Choice

According to professional audit standards, how might an understanding of the nature of fraud that may occur in the client organization be identified by an audit firm?

• A) Fraud training courses from actual corporate fraud ex-criminals.
• B) Conducting a brainstorming session with the members of the audit team.
• C) Circulating a survey to the client company employees for completion.
• D) Discussions with other audit firms.

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Definitions:

Successful Applicants

Individuals who have met the criteria and passed the selection process for a job, program, or opportunity.

Groupthink

A psychological phenomenon where the desire for harmony or conformity within a group results in irrational or dysfunctional decision-making outcomes.

Feasibility

The measure of how possible or practical it is to implement a project, plan, or idea based on factors like cost, time, and resources.

Morale

The feelings of enthusiasm, loyalty, and confidence of a group or an individual.