Audits of financial statements are designed to obtain assurance of detecting material misstatement due to: O a. Indirect-effect illegal acts Yes Misappropriation of assets Yes Fraudulent financial reporting Yes Fraudulent financial reporting Yes O b. Indirect-effect illegal acts Yes Misappropriation of assets No . Indirect-effect illegal acts No Misappropriation of assets Yes Fraudulent financial reporting No Fraudulent financial reporting Yes O d. Indirect effect illegal acts No Misappropriation of assets Yes O. Indirect-effect illegal acts Yes Fraudulent financial reporting No Misappropriation of assets No