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The auditor selects 25 invoices for testing and detects no errors. As a result, she concludes that the expense account is fairly stated. Unbeknown to the auditor, the client has altered some of the invoices to reduce the amount reported as expense. This is an example of:
Options
Choices or alternatives available in any situation, allowing for decision-making based on preferences, needs, or desired outcomes.
Status Quo Bias
A preference for the current state of affairs, with changes perceived as a loss.
Omission Bias
A cognitive bias that involves the tendency to judge harmful actions as worse, or less moral, than equally harmful omissions (inactions).
Decisions
The method of selecting options through recognizing a decision, collecting information, and evaluating different solutions.
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