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An Auditor Has Identified a Risk of Material Misstatement Due

Question 172

Multiple Choice

An auditor has identified a risk of material misstatement due to fraud related to the inventory function. Which is least likely to be an appropriate response?


A) Observing inventory counts on an unannounced basis.
B) Requesting that management more closely monitor the inventory function.
C) Assigning more experienced personnel to the engagement.
D) Requesting that inventory be counted on a date close to the end of the reporting period.

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