Rationalization for fraud can fall under two categories: “no harm” and “no responsibility.” Assume an employee is directed by management to reduce recorded expenses at year-end by insignificant amounts individually, but which are material in total. How might the employee justify her actions if questioned by the auditor with respect to no harm and no responsibility? What stage of moral development in Kohlberg’s model is best illustrated by the employee’s actions? Why?

Q: Frauds are often detected through the receipt of an anonymous tip, by management review, by internal…

A: Auditing is the process of checking and verifying books of accounts of the business in order to…

Q: Which of the following would be best considered to be an agency conflict problem in the behavior of…

A: Agency problem exist in the corporation due to the fact the owners of company and managers are…

Q: information should be communicated to management

A: Internal control system is the set of policies and procedures implemented in an organization to…

Q: The management fraud is committed by a top level management employee? Give an example of those top…

A: frauds committed by management ( top-level ) -   - management frauds are committed by top-level…

Q: Most employees that choose to commit fraud against their employers feel justified in doing so.  For…

A: Internal control is an important part of every organization. It helps in maintaining the efficiency…

Q: When an employee is in a position to penetrate and hide fraud, incompatible roles exist. False or…

A: Accounting fraud: Accounting fraud refers to the deliberate manipulation and illegal alteration of…

Q: If the auditor found misstatements in financial statements resulting from fraud, the auditor…

A: As per Auditors responsibilities to consider the fraud in an audit of financial Statements.  If The…

Q: In a fraud examination, original documents must be protected from damage and tampering toa.…

A: Fraud examination: Wrongdoing checks require attempts to address claims or signs of wrongdoing where…

Q: When comparing the auditor's responsibility for detecting employee fraud and for detecting errors,…

A: Employee errors means mistakes happened in preparation of financial statements by the employee and…

Q: You are asked to be interviewed by a student newspaper regarding the nature of accounting fraud. The…

A:

Q: Incompatible duties exist when an employee is in a position tlo penetrate and conceal errors of…

A: Fraud means intentional concealment of facts or wrongful action resulting in financial or personal…

Q: risk of engaging in criminal behaviours is evaluated by corporate managers who have very little to…

A: Inaccurate ,  Where a criminal attitude just be like theft, hacker, any hazarious to company or…

Q: When a fraud has occurred within an organization, management must decide what follow-up action (s)…

A: An organization usually does not take any legal action against the person who has done fraud as it…

Q: Which of the following internal control policies, when absent, would increase the opportunity for…

A: Note: As per the Bartleby guidelines we are required to solve a maximum of one question. Please post…

Q: 4 Jamie is an auditor. While preparing to audit his client, FoodCourt, he finds a weakness in the…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Which of the following would a fraudster perceive as a pressure?A. lack of management oversightB.…

A: Internal control techniques are those procedures or techniques which will ensure that objectives of…

Q: Many authorities believe that the employer does not prosecute 90 percent of all computer fraud acts.…

A:

Q: Why do auditors need to differentiate between employee and management fraud? Is it the…

A: That the Company's financial statements are free of any substantial misstatements following…

Q: Which of these statements is/are correct? | If an auditor had the required knowledge and…

A: Audit means checking of financial statements of a company.

Q: “fraud   triangle

A: Fraud triangle theory explains the reasons for committing fraud.

Q: Management fraud (fraudulent financial reporting) is not the expected norm, but it happens from time…

A: a.

Q: With respect to fraudulent financial reporting, which one of the following statements is not…

A: Auditor can obtain reasonable assurance only, not an absolute assurance.

Q: Under common law, which of the following statements most accurately reflects the liability of a CPA…

A: The liability of a CPA who fraudulently gives an opinion on an audit of a client's financial…

Q: Research has shown that situational pressures and opportunity are factors that contribute to…

A: a. Fraud: Fraud refers to an intentional act of dissembling the assets of a company. It can be…

Q: Which of the following statements is not true? a. The auditor’s main duty is the detection and…

A: The auditor has to ensure whether the financial statements represent true and fair view and as well…

Q: The fraud triangle asserts that the following three factors must exist for a person to commit…

A: Given situation is: A worker sees other employees regularly take inventory for personal use.

Q: The auditors who find that the client has committed an illegal act would be most likely to withdraw…

A: Auditors are the professionals who are involved in the scrutiny of the financial reports and…

Q: Employee Embezzlement via Cash Receipts and Payment of Personal Expenses.Assume you have received a…

A: Since multiple questions are posted only the first three questions will be answered. Kindly resubmit…

Q: A code of ethics is an important element of a fraud prevention program. Which of the following would…

A: Fraud: Fraud is the act of deliberately conducting false reporting of facts, to acquire funds or…

Q: procurement agent for a large metropolitan building authority threatens to blacklist a building…

A: Given: If the contractor does not cooperate, he or she will be barred from working on future…

Q: The auditor’s primary consideration is whether, and how, internal control prevents, or detects and…

A: The answer for the theory question on Auditing is discussed hereunder :

Q: Regarding auditor remuneration, a self-interest threat to professional competence and due care is…

A: The auditor would require to provide the service with his full competence and due care. But if he…

Q: There are two common causes of business and accounting fraud: • A failure of individual character •…

A: Accounting: Accounting is a system, or a process of collecting and organizing economic transactions,…

Q: What are the most common approaches that perpetrators use to commit fraudulent financial reporting?…

A: A fraud in an audit is an activity performed with the intent of deceiving the users of the financial…

Q: Collusion is an intentional act of two or more employees to accomplish theft of company assets.…

A: Internal controls main objective is to safeguard assets and records and to ensure that policies…

Q: Allison Everhart, an employee in accounts payable, believes she can run a fictitious invoice through…

A: Fraud is the act of deliberately conducting false reporting of facts, to acquire funds or property…

Q: You are asked to be interviewed by a student newspaper regarding the nature of accounting fraud. The…

A: It has generally been seen that the misappropriation of assets is done by workers of the…

Q: The following scenarios are taken from actual fraud cases. For each scenario, categorize as…

A: Following will be the categorization of the given situation

Q: What are the defining characteristics of (a) white-collar crime, (b) employee fraud, (c)…

A:

Q: 2. The auditors who find that the client has committed an illegal act would be most likely to…

A: When auditors discover that a client has engaged in illegal activity, they are more likely to leave…

Q: Under which of the following circumstances would a disclaimer of opinion not beappropriate?(1) The…

A: From the various given statements we have to find out the circumstances where a disclaimer of…