In identifying the inherent fraud risks that could apply to the organization, the fraud risk assessment team should discuss:
The organization ' s incentive programs
The possibility of management ' s override of controls
Risks to the organization ' s reputation
All of the above
Scope of Fraud Risk Assessment:
The fraud risk assessment team must consider various factors, including:
A. Incentive programs:Can create pressures that lead to fraud.
B. Management override of controls:A key risk for fraud occurring despite existing safeguards.
C. Risks to reputation:Fraud incidents can harm the organization ' s public image.
Comprehensive Discussion:
Considering all these factors ensures a thorough identification of inherent fraud risks.
Conclusion:The fraud risk assessment team should discuss all listed items.
Submit