ISA 240 THE AUDIT RESPONSIBILITY RELATING TO FRAUD IN AN AUDIT OF FINANCIAL STATEMENTS

 The primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the company and management. An auditor conducting an audit in accordance with ISAs is responsible for obtaining reasonable assurance that the financial statements taken as a whole are free from material misstatement, whether caused by fraud or error.

ISA 240  deals with the auditor’s responsibilities relating to fraud in an audit of financial statements.

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