Which of the following statements best describes auditors’ responsibility to detect errors and frauds?
A. Auditors should design an audit to provide reasonable assurance of detecting errors and frauds that are material to the financial statements.
B. Auditors are responsible to detect material errors but have no responsibility to detect material frauds that are concealed through employee collusion or management override of the internal control structure.
C. Auditors have no responsibility to detect errors and frauds unless analytical procedures or tests of transactions identify conditions causing a reasonably prudent auditor to suspect that the financial statements were materially misstated.
D. Auditors have no responsibility to detect errors and frauds because auditors are not insurers and an audit does not constitute a guarantee.
We need at least 10 more requests to produce the solution.
0 / 10 have requested this problem solution
The more requests, the faster the answer.