CA Inter Audit – Chapter 5 – Fraud and Responsibilities of the Auditor in this Regard MCQs

Which of the following SA deals with auditor’s responsibilities in relation to fraud in an audit of financial statements?

An intentional act by one or more individuals among management, those charged with governance, employees, involving the use of deception to obtain an unjust advantage is

The types of intentional misstatements that are relevant to the auditor are

With respect to financial statement fraud, which one of the following statements is not correct?

When planning the audit, the auditor must make enquiries of management. Which one of the following is not an appropriate enquiry with management about fraud?

Which one of the following does not constitute an appropriate audit planning procedure that the auditor should employ relating to the risk of fraud?

Which of the following fraudulent activities constitutes misappropriation of assets?

Which one of the following statements about fraud is correct?

Which one of the following does not necessarily constitute fraud?

Problematic or unusual relationships between the auditor and management, includes which of the following?

Conflicting or missing evidence, does not include

Discrepancies in the accounting records, including

Even though the audit is properly planned and performed in accordance with Sass, some material misstatements of the financial statements will not be detected, this is due to

Fraud deals with ____ but error, on the other hand, refers to _____ in financial information.

Misappropriation of assets is often accompanied by

Fraud can be committed by management overriding controls using the following techniques. State which of the following options is correct?

Which of the following is an example of inflating cash payments?

Misappropriation of assets may occur because there is

The risk of management fraud increases in the presence of

Which of the following is an example of fraudulent financial reporting

Which of the following frauds is more difficult to detect?

Primarily prevention and detection of fraud are the responsibilities of

Which of the following in not a fraud through suppressing cash receipts

Teeming and lading is a technique of fraud through _________.

Which of the following errors will affect the trial balance?

Examples of fraudulent financial reporting include

Which of the following is not an example of suppressing cash receipts

Which of the following is a fraud risk factor?

Which of the following is not likely to be a fraud risk factor relating to management’s characteristics?

Which of the following statements is incorrect?

Which of the following is an indicator of fraud due to problematic or unusual relationship between auditor and management

Degree of detection risk is generally high which respect to

Due to inherent limitations of audit, there is _____that some misstatements will ______

Fraud is an intentional act involving use of deception to obtain an unjust advantage and can be committed by

Where auditor comes across a situation where any misstatement due to fraud or error could exist then

The management may override the controls in order to take advantage of the situation, whereby, they may pass false entries in the book, is known as

An accountant Mr. Joseph receives money from customer Shiva but adjusts it to customer Alwin’s account. This process goes on and at no point of time will the customer balance be shown properly, this is an example of

Incentive or pressure to commit fraudulent financial reporting exist in which of the following cases?

Fraudulent financial reporting may be accomplished by