What is the appropriate action or series of actions, Accounting Basics

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What is the appropriate action or series of actions

Problem

Diamond Foods, Inc. - If the auditors had discovered the alleged fraud, what is the appropriate action, or series of actions, for an audit firm of a publicly traded company (such as Diamond) that becomes aware of illegal acts by the client's management?

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Accounting Basics: What is the appropriate action or series of actions

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