Question

A forensic accountant conducting a fraud examination must follow GAAP when presenting the subject's financial data.

a. True

b. False

Please explain the reason why you chose your answer. Thanks!

Answer 1

Answer -True

Explanation :

1. Forensic accountant will often require more extensive corroboration.
2. Forensic accountant may focus more on seemingly immaterial transactions.
3. It includes investiagtion and prosecution of criminal acts such as embezzlement or fraud.
4. Forensic audit is conduct . 1. Inresponse to an event ,2.Financial investiagtion 3.Finding used as evidence in court or resolve disputes.
5. conclusion :Based on above it is clear that forensic accountant or auditor reporting objective is different from financial  acccountants but forensic accountant need to comply with GAAP while presenting the subject's financial data