Questions 1. What is the role of professional skepticism in auditine financial statements? Do you think that the auditions were skeptical enough in evaluating the operations of Imperial Valley? Explain. 2. What is the role of assessing risk including materiality in an audit? Do you think the auditors did an adequate job in this regard? Explain. Assume that the auditors decide to support management's position and reduce the amount of loan write-otis. The decision was made in part because of concerns that regulators might force the bank to close its doors, and then many customers would have nowhere else to go to borrow money. Evaluate the ethies of the auditors' decision. Questions 1. Use the fraud triangle to analyze the business and audit risks that existed at Diamond Foods during the period of its accounting fraud. 2. Answer the following: a. Did Diamond Foods commit an illegal act? Explain. b. Evaluate the control environment at Diamond Foods. 3. Based on the facts of the case, do you think the auditors from Deloitte could have done more to identify the fraud at Diamond Foods? Were there any apparent deficiencies in their audit procedures and evaluation of the risk of material misstatement in the financial statements of Diamond Foods? Explain. Questions 1. What is the role of professional skepticism in auditine financial statements? Do you think that the auditions were skeptical enough in evaluating the operations of Imperial Valley? Explain. 2. What is the role of assessing risk including materiality in an audit? Do you think the auditors did an adequate job in this regard? Explain. Assume that the auditors decide to support management's position and reduce the amount of loan write-otis. The decision was made in part because of concerns that regulators might force the bank to close its doors, and then many customers would have nowhere else to go to borrow money. Evaluate the ethies of the auditors' decision. Questions 1. Use the fraud triangle to analyze the business and audit risks that existed at Diamond Foods during the period of its accounting fraud. 2. Answer the following: a. Did Diamond Foods commit an illegal act? Explain. b. Evaluate the control environment at Diamond Foods. 3. Based on the facts of the case, do you think the auditors from Deloitte could have done more to identify the fraud at Diamond Foods? Were there any apparent deficiencies in their audit procedures and evaluation of the risk of material misstatement in the financial statements of Diamond Foods? Explain