What type of risk is intentional failure by management to accurately disclose violations of debt covenants?
A)Inherent risk.
B)Fraud risk.
C)Control risk.
D)Detection risk.

Question

Quizplus · Accepted Answer

Intentional failure by management to accurately disclose violations of debt covenants is a classic example of fraud risk. Fraud risk relates to the risk of intentional misstatement or omission of material information to deceive users of financial statements.

What Type of Risk Is Intentional Failure by Management to Accurately