In Actively Considering Fraud in the Financial Statement Audit,the Audit

question 60

Multiple Choice

In actively considering fraud in the financial statement audit,the audit team will most likely realize which of the following when performing substantive procedures?

• A)Accounting journal entries may have been used to perpetrate a fraud.
• B)Most fraud is not material enough to consider.
• C)Journal entries do not supply enough evidence to detect fraud.
• D)New technology prevents fraud more thoroughly than manual systems.

---

Definitions:

Unfettered State Autonomy

A situation where a state or region has complete independence and freedom from external control in governing its affairs.

U.S. Constitution

The foundational document outlining the structure, functions, and powers of the United States government, and the rights of its citizens.

Federal Government

The national government of a country, which holds the primary authority over its constituents, such as states or provinces.

Branches of Government

The division of government into separate parts, typically including the executive, legislative, and judicial branches, each with distinct powers and responsibilities.