If the Risk of Misstatement Due to Fraud Is Increased

question 38

True/False

If the risk of misstatement due to fraud is increased, the auditor is required to assign a fraud specialist to the audit team.

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Definitions:

Organizational Politics

The activities undertaken within an organization to acquire, develop, and use power and other resources to obtain one’s preferred outcomes in a situation involving uncertainty or disagreement.

Ingratiation

A psychological technique where an individual attempts to become more likable to their target, often through flattery or other forms of manipulation.

Impression Management

The process by which individuals attempt to control the perceptions others have of them, through the manipulation of information in social interactions.

Organizational Politics

The process and behavior in human interactions involving power and authority, used to gain advantage within an organization.