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Question 1: Internal auditors must exercise due care if they are to meet their responsibilities for fraud
detection. Thus, the existence of certain conditions should raise auditor's professional scepticism
concerning possible fraud. Which of the following is most likely to be considered as an indication of
possible fraud?
A. A new management team installed as the result of a takeover.
B. Rapid turnover of financial executives.
C. Rapid expansion into new markets.
D. Tax authorities' audit of tax returns.
Correct Answer: B
1   2   3   4   5   6   7   8   
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