Auditor Responses to Fraud Risk Include Which of the Following

question 36

Multiple Choice

Auditor responses to fraud risk include which of the following?

• A) Change the overall conduct of the audit to respond to identified fraud risks.
• B) Design and perform procedures to address the risk of management override of controls.
• C) Design and perform audit procedures to address identified risks.
• D) all of the above

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Definitions:

Marginal Subcontracting Cost

The additional cost incurred for outsourcing work or production to a third party beyond the normal capacity.

Layoff Cost

Expenses related to the dismissal of employees, including severance pay and benefits.

Hiring And Training Cost

Expenses related to recruiting, hiring, and providing initial training for new employees, impacting an organization's investment in its workforce.

Regular Time Cost

The cost associated with employees' wages during their standard working hours, excluding overtime compensation.