QUESTION 1 What is a value of bringing in an independent accountant after a client discovers an internal fraud? a. The accountant can determine the depth of the embezzlement or fraud and try out the case for law enforcement b. There is only future value by outsourcing bookkeeping to the accountant There is no value. Discovery of the fraud leads automatically to the total amount lost d. There is little value because the case might go public in an embarrassing way QUESTION 2 Suzan Wright, CPA is auditing the financial statements of app App, Inc, a company that created a new fraud prevention app for phones, Wright identifies that a revenue stream of app App is not hitting the income statement and appears to have been diverted to a bank account in the Cayman Islands Wright Questions Johnny Luck. CFO of Zapp App about the revenue stream and accepts Luck's explanation that it is allegal when fact, it is an embezzlement scheme and tax evasion Wright provides an inquified (clean opinion could Wright be liable for negligence? No, because Wright is not responsible for discovering tax evasion . No, because Wright is not auditing the tax retur Yes, because she cannot rely on the word of Luck since the activity was s o us No, because she can rely on the word of Luck without further investigating Suspicious conduct