Multiple Choice
In planning the audit,members of the audit team are required to have a team meeting to discuss the potential for misstatement due to fraud in the inventory process,including
A) the pressure on management to commit fraud
B) the inevitability that fraud will be perpetuated in the company
C) the general tone or environment in the company that may allow management to conceptualize committing fraud
D) the general tone or environment in the company that may allow management to rationalize committing fraud
E) the rationalization for fraud to be perpetrated in the company
F) both A and D
G) both C and E
Correct Answer:

Verified
Correct Answer:
Verified
Q1: Substantive audit procedures in the inventory process
Q2: Once inventory is recorded,it continues to be
Q3: The auditor must determine whether the inventory
Q5: According to FASB Concept Statement No.5,Recognition and
Q6: In the inventory process,the auditor typically uses
Q7: The accounts in the inventory process are<br>A)inventory<br>B)purchasing<br>C)allowance
Q8: When an understatement misstatement in inventory occurs<br>A)cost
Q9: Clients may understate inventory to reduce income
Q10: If the perpetual inventory files are accurate,the
Q11: The auditor should plan the audit of