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NEW QUESTION 35
According to the 2018 Report to the Nations, which of the following is the most common method by which frauds are detected?

  • A. Tips
  • B. External audit
  • C. Internal audit
  • D. Confession

Answer: A

 

NEW QUESTION 36
Which of the following is TRUE regarding proactive fraud auditing procedures?

  • A. Fraud assessment Questioning techniques are most appropriately used when attempting to determine who might be responsible for a particular fraud scheme.
  • B. Analytical review of the financial statements is best used to uncover small frauds that might be missed by other detection methods.
  • C. Surprise audit procedures are an effective fraud detection mechanism, but they do not help prevent fraud
  • D. Implementing proactive fraud audit procedures demonstrates the organization’s intention to aggressively look for possible fraudulent conduct.

Answer: C

 

NEW QUESTION 37
According to International Organization for Standardization (ISO) 31000 2018. an organization’s risk management program should be proportionate to the organization s specific operations and objectives.

  • A. True
  • B. False

Answer: A

 

NEW QUESTION 38
Which of the following is TRUE regarding the communication of the fraud risk assessment process?

  • A. The communication should be made in a format mat is most appropriate for the culture of the organization
  • B. The communication should be visibly disseminated throughout the business
  • C. All of the above
  • D. The more personalized the communication, the more effective it will be in encouraging employees to participate

Answer: C

 

NEW QUESTION 39
The Institute of Internal Auditors’ (IIA) International Standards for the Professional Practice of Internal Auditing states that

  • A. The internal auditor must apply the skill and care of an expert whose primary responsibility is investigating fraud
  • B. The internal auditor must apply the skill and care of a reasonably prudent and competent internal auditor
  • C. The internal auditor must apply the skill and care of an expert whose primary responsibility is detecting fraud.
  • D. The internal auditor must apply the skill and care of an unbiased, infallible audit professional.

Answer: D

 

NEW QUESTION 40
……

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