Which of the Following Factors Should an Auditor Consider in Evaluating

question 21

Multiple Choice

Which of the following factors should an auditor consider in evaluating the effect of fraud upon the planned audit procedures?

• A)The type of fraud that may occur.
• B)The potential materiality of fraud.
• C)The likelihood of fraud occurring.
• D)All of the above.

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Definitions:

Progressive

Referring to the support for or advocacy of improvements or reform in societal practices, often with a focus on social justice, equality, and modernization.

Tax Expenditures

Government losses in tax revenue due to exemptions, deductions, credits, and preferential tax rates.

Subsidize

To support an organization, activity, or economic sector by providing financial assistance, often from the government to keep prices low or to ensure it continues to operate.

Fiscal Policy

Government strategies related to taxation and public spending, used to influence the economy and fund public services.