ASA 240 (ISA 240) provides that the primary day-to-day responsibility for prevention of fraud rests with:

Question

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According to ASA 240 (ISA 240), the primary day-to-day responsibility for prevention of fraud rests with management. Management is responsible for implementing effective internal control systems to prevent and detect fraud, and for creating a culture of honesty and ethical behavior within the organization. While the external auditor and audit committee also have a role to play in fraud prevention, they are not primarily responsible for day-to-day prevention efforts. The internal auditor may help with fraud prevention, but they are not the primary entity responsible for it.

ASA 240 (ISA 240) Provides That the Primary Day-To-Day Responsibility