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.
Auditors have to go through financial statements at least once, to make sure that they catch everything.
mnli hypothesis: Auditors have to go through financial statements at least once, to make sure that they catch everything. 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.