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.

Question

Quizplus · Accepted Answer

An auditor should consider all the factors mentioned above in evaluating the effect of fraud upon the planned audit procedures. The type of fraud that may occur can help the auditor identify the potential risks associated with the fraud and help them tailor their audit procedures accordingly. The potential materiality of fraud is important to evaluate as it can influence the scope of audit procedures and the level of testing required. The likelihood of fraud occurring is also important to consider as it can help the auditor identify areas of the financial statements that require increased scrutiny. Therefore, all the factors should be considered in evaluating the effect of fraud upon the planned audit procedures.

Which of the Following Factors Should an Auditor Consider in Evaluating