If there is a high risk of material fraud related to an assertion, _______.
A)the auditor will want to test controls over that assertion
B)the auditor will want to test controls over other assertions
C)the auditor should request the audit be conducted by the internal audit function
D)the auditor should withdraw from the engagement, to avoid risk exposure

Question

Quizplus · Accepted Answer

If there is a high risk of material fraud related to an assertion, the auditor should want to test controls over that assertion. This helps in identifying any potential fraud early on and can help prevent or mitigate the impact of fraud on financial statements. Testing controls can also help the auditor assess the effectiveness of the internal control system in preventing and detecting fraud.

If There Is a High Risk of Material Fraud Related