If an Auditor Notices Fraud Symptoms Related to Inventory, One

question 43

Multiple Choice

If an auditor notices fraud symptoms related to inventory, one of the best ways to confirm if a fraud is occurring is to:

• A) ask senior management.
• B) search out tips and complaints from employees who may be aware that something isn't right.
• C) report suspicions to regulatory agencies for further investigation.
• D) continue searching for additional symptoms of the potential fraud.

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Definitions:

Psychoanalysis

A therapeutic approach developed by Sigmund Freud focusing on unconscious processes as they are manifested in an individual's behavior, emphasizing the exploration of dreams, fantasies, and free association.

Anna Freud

An influential psychoanalyst known for her work on defense mechanisms, ego psychology, and child psychoanalysis; daughter of Sigmund Freud.

Adolescents

Individuals in the stage of development between childhood and adulthood, typically marked by puberty and legal minors' psychological and social changes.

Existential Therapy

A form of psychotherapy that focuses on exploring the client's experience of existence and addressing issues related to the meaning of life, freedom, choice, and responsibility.