A9 Fraud Risk Flashcards
1
Q
Errors
A
Unintentional misstatements or omissions of amounts or disclosures in the financial statements.
2
Q
Fraud
A
An intentional act by one or more individuals among company affiliates involving the use of deception that results in a misstatement of the FS.
3
Q
Fraud Risk Factors
A
POR Pressure. Opportunity. Rationalization
4
Q
Risk of Material Misstatement
A
The risk of not detecting a material misstatement that results from fraud is higher than the risk of not detecting one that results from error.
