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How are auditors required to document matters related to their consideration of material misstatements due to...

How are auditors required to document matters related to their consideration of material misstatements due to fraud?

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Expert Solution

When the Auditor finds the documents with the consideration of material misstatements due to fraud, he/she prepare the required information format putting in the desired results and ask the management to fill up the formats with desired proofs. The auditor can prepare the documents by providing the narrative notes also. The notes are attached to Audit Report or put the completiing structured form with desired results as per the ending positions.

The detection and investigation of the fraud of the "material misstatements" by the Auditor, so that the true and fair financial position of the concern is certified to the Shareholders. The material misstatements due to fraud are put under the qualified report till the investigation is completed.

The Auditor can also documents the report under the qualification till the investigation of fraud is going-on and correct possition is known.

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ekkarill92 answered 1 year ago
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