Consider the information presented in the chapter regarding the audit of U.S. Foodservices (USF).
a. Describe how the auditors failed to gather “sufficient appropriate evidence” in the audit.
b. Did Hall and Meyer exercise “professional skepticism” in the audit? Explain your answer.
c. What type of fraud did the company commit?
d. What were the auditors’ responsibilities regarding the fraud committed at USF? Did they meet these responsibilities?
e. Consider the fraud conditions of pressure, opportunity, and rationalization.
Which of the elements seems to dominate in this fraud? Explain your answer.