© D.L. Crumbley
External Auditors and Fraud Detection
Although auditors have previously had the responsibility to detect material misstatement caused by fraud, SAS No. 82 details more precisely what is required to fulfill those responsibilities.
Now, auditors must specifically assess and respond to the risk of material misstatement due to fraud and must assess that risk from the perspective of the broad categories in the SAS.
External auditors have to satisfy new documentation and communication requirements. Superseded by SAS No. 99.