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true or false
7) Auditors have the responsibility to plan and perform the audit to obtain reasonable assurance about whether the financial
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Answer #1

7) False

Auditor have the responsibility to plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.

This statement is false . As per the amendments to Responsilbilty and Functions of the Independent auditor because ,the nature of the evidence collected during audit and the fraud characteristics , the Auditor have no responsibility to plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.

8) True

Fraudulent financial reporting involves the theft of an entity assets and is often perpetrated by employees in relatively small and immaterial accounts

This statement true . Faudulent financial reporting involvesthe theft of an entity assets and is often perpetrated by employees in relatively small and immaterial accounts.Misappropriation of assets can be done by stealing physical assets , embezeling receipts,

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