Question: 2. a) An auditor often tries to acquire background knowledge of the clients industry as an aid to his or her audit work. How does

2. a) An auditor often tries to acquire background knowledge of

2. a) An auditor often tries to acquire background knowledge of the clients industry as an aid to his or her audit work. How does the acquisition of this knowledge aid the auditor in distinguishing between obsolete and current inventory. b) Why inherent risk for related party transactions are high? Explain with example. c) Distinguish between fraud and error

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