An error is an unintentional misstatement of amounts or disclosures in the financial statements
such as e.g. mathematical or clerical mistakes, unreasonable accounting estimate arising from
misinterpretation of facts.
Fraud is an intentional act by one or more individuals among management, employees or third
parties involving the use of deception to obtain an unjust or illegal advantage. Fraud involving
only employees of the entity is referred to as employee fraud.eg fraudulent financial reporting
and misappropriation of assets i.e. defalcation, manipulation or alteration of documents folloWed
by an act that conceals these existences.
Kavungya answered the question on May 14, 2019 at 13:20
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Date posted: May 14, 2019. Answers (1)