Discussion: Audit Risk And Fraud
• Create a scenario in which a company conceals financial fraud from the auditing firm through the use of information technology. Next, suggest at least one way in which an auditing firm can minimize its exposure to this risk.
• According to your textbook, planning an audit involves establishing the overall audit strategy for the engagement and developing an audit plan in an attempt to reduce audit risk to an acceptable level. Select a balance sheet account or income statement account, and discuss the type of audit procedure that would produce the most reliable evidence for that account balance. Defend your position.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.