When Considering the Risk of Misstatement Due to Fraud

question 65

Multiple Choice

When considering the risk of misstatement due to fraud,

• A)the risk of not detecting a material misstatement due to fraud is lower than the risk of not detecting a misstatement due to error.
• B)the risk is only made at the financial statement level.
• C)auditing standards require the auditor to presume that risk of fraud exist in expense transactions.
• D)auditing standards outline procedures the auditor should perform to obtain information from management about their consideration of fraud.

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Definitions:

Mass Media

Various forms of communication, such as television, radio, newspapers, and the internet, that reach large audiences simultaneously, playing a significant role in shaping public opinion and culture.

Audiences

Audiences refer to the assembled group of individuals who receive and respond to a work of art, a performance, a speech, or any other presented content, often characterized by varying levels of engagement and interpretation.

Mass Media

Forms of communication, such as newspapers, radio, television, and the internet, that reach large audiences.

Internet Content

refers to all forms of information, media, and data that are available and accessible over the internet, including text, images, videos, and applications.