Which of the following procedures would be most helpful in providing additional evidence when an auditor suspects that an unidentified employee is submitting and approving invoices for payment?
Which of the following procedures would be most helpful in providing additional evidence when an auditor suspects that an unidentified employee is submitting and approving invoices for payment?
Using generalized audit software to identify invoices from vendors with post office box numbers or other unusual features is the most effective procedure for uncovering potential fraudulent activities. By selecting a sample of those invoices and tracing them to supporting documents such as receiving reports, the auditor can pinpoint discrepancies that might suggest the involvement of an unidentified employee in submitting and approving fraudulent invoices. This approach directly addresses the concern of unusual or suspicious vendor transactions, which is crucial in this context.
Yes also fraud cannot be detected through sample.
An I identified employee is submitting and approving invoices for payment. This means the invoices are fake. Answer A is trying to figure out fake invoices such as PO Box number (should not happen to vender) and unusual features.
Asking about approval from identified employer not fraud relate to vendor it should be b