Auditing and Assurance Services 9th Edition by Alvin Arens,Mark Beasley,Randy Elder

تمرين 27

Which of these statements concerning illegal acts by clients is correct?
A) An auditor's responsibility to detect illegal acts that have a direct and material effect on the financial statements is the same as that for errors and fraud.
B) An audit in accordance with generally accepted auditing standards normally includes audit procedures specifically designed to detect illegal acts that have an indirect but material effect on the financial statements.
C) An auditor considers illegal acts from the perspective of the reliability of management's representations rather than their relation to audit objectives derived from financial statement assertions.
D) An auditor has no responsibility to detect illegal acts by clients that have an indirect effect on the financial statements.