Which of the following must an auditor establish in order to demonstrate that fraud has occurred?
Which of the following must an auditor establish in order to demonstrate that fraud has occurred?
To demonstrate that fraud has occurred, an auditor must establish the suspect's intent. Fraud involves a deliberate act with the intent to deceive or gain an unfair advantage. Establishing intent distinguishes fraud from errors or accidents, where there is no malicious intent involved.
Intent is required for Fraud. Evidence can be there that something happened, but it could have been a mistake or accident. If someone has Intent to do it, it shows Fraud.
Why not evidence over intent