What should auditors and others involved in the financial reporting process do to mitigate the risk of fraudulent financial reporting?
A)Acknowledge that there needs to exist a strong,highly ethical tone at the top of an organization that permeates the corporate culture,including an effective fraud risk management program.
B)Continually exercise professional skepticism.
C)Remember that strong communication among those involved in the financial reporting process is critical.
D)All of the above.

Question

Quizplus · Accepted Answer

All of the above options are important strategies for mitigating the risk of fraudulent financial reporting. A strong ethical tone at the top of an organization, with an effective fraud risk management program, is essential. Auditors and others must maintain professional skepticism throughout the reporting process, as this can help to identify potential fraud indicators. Effective communication among all stakeholders is critical to ensure that all parties are aware of potential risks and can take proactive steps to mitigate those risks.

What Should Auditors and Others Involved in the Financial Reporting