Which statement is incorrect regarding fraud risk factors?
A. Using the auditor’s knowledge of the business, the auditor may identify events or conditions that provide an opportunity, a motive or a means to commit fraud, or indicate that fraud may already have occurred. B. A missing document, an out of balance general ledger, or an analytical procedure that does not make sense may be the result of circumstances other than fraud. C. Fraud risk factors indicate the existence of fraud because they often have been present in circumstances where frauds have occurred. D. The presence of fraud risk factors may affect the auditor’s assessment of inherent risk or control risk.