Question 1 (1 point) Which of the following is an example of a misappropriation of assets fraud? unauthorized discounts or refunds to customers inappropriate application of accounting principles unrecorded liabilities improper asset valuations Question 2 (1 point) Keith Fiorino, a manager at Cox, Durham, \& Elliott, CPA's was given the mandate to deal with the following risks: fraud risks, complex transactions, and significant related party transactions. How would you classify these risks? Inherent risks Control risks Audit risks Significant risks Question 3 (1 point) By setting high detection risk, an auditor will... eliminate the possibility that fraud will be detected. reduce the level of reliance placed on their detailed substantive procedures. increase the level of reliance placed on their detailed substantive procedures