Two types of misstatements are relevant to the auditors' consideration of fraud in an audit of financial statements- misstatements arising from fraudulent financial statements and misstatements arising from misappropriation of assets.
Misappropriation of assets can lead to misstatements, which are relevant to auditors.
mnli hypothesis: Misappropriation of assets can lead to misstatements, which are relevant to auditors. premise: Two types of misstatements are relevant to the auditors' consideration of fraud in an audit of financial statements- misstatements arising from fraudulent financial statements and misstatements arising from misappropriation of assets.