Which of the following should be followed by the forensic accountant while evaluating evidence?
A) The working hypothesis must be constantly re-evaluated and refined based on new evidence.
B) For most engagements, the concept of probability should be considered specifically.
C) Evidence can be accepted at face value if it has been obtained from a known source.
D) The negative facts, inconsistencies, or discrepancies that challenge his or her working hypothesis can be ignored.

Question

Quizplus · Accepted Answer

It is important for the forensic accountant to constantly re-evaluate and refine their working hypothesis based on new evidence in order to ensure an accurate analysis and conclusion.

Answer: B 
 The concept of probability should be considered specifically in most engagements, as it can be helpful in determining the likelihood of a certain event or transaction.

Answer: C 
 Evidence should not be accepted at face value, even if it comes from a known source. The forensic accountant should consider the credibility and reliability of the evidence before accepting it as valid.

Answer: D 
 The negative facts, inconsistencies, or discrepancies that challenge the working hypothesis should not be ignored, as they can be key to identifying and analyzing potential fraud or misstatements.

Which of the Following Should Be Followed by the Forensic