The auditor can respond to an increased risk of fraud by taking all of the following actions except:
A)increasing professional scepticism.
B)assigning more experienced personnel to the audit.
C)increasing acceptable audit risk.
D)taking steps to obtain more reliable evidence.

Question

Quizplus · Accepted Answer

Increasing acceptable audit risk would lower the level of assurance provided by the audit and is not a recommended action to respond to an increased risk of fraud. Instead, the auditor should increase professional scepticism, assign more experienced personnel to the audit, and take steps to obtain more reliable evidence to mitigate the risk of fraud.

The Auditor Can Respond to an Increased Risk of Fraud