Assignment:
Fraud Risk and Prevention
For Critical Thinking Assignment Option, you will determine the fraud risk, examine the importance of creating a comprehensive approach to combating fraud, and recommend changes to eliminate opportunities for fraud for a business.
Read case study Fact Sheet attached. Evaluate the situation, then answer the following questions:
1) What concerns are raised about why the perpetrator committed the fraud against the business?
2) Identify the possible internal control failures that would have increased the risk of fraud.
3) Using the Fraud Triangle and Fraud Scale, evaluate why the perpetrator would have/could have committed the fraud.
4) Referring to the Fraud Prevention Chart in Albrecht et al (2018), page 117, did the business owner implement a comprehensive approach to fighting fraud? Why or why not? Give examples.
5) Did the business owner create a culture of honesty, openness, and assistance or eliminate fraud opportunities? Why or why not? Give examples.
6) What could the business have done differently to detect this fraud earlier or prevent it from happening?
7) Recommend changes that will eliminate opportunities for fraud in the business.
For this Critical Thinking Assignment, adhere to the following standards:
The paper should be approximately 5 pages in length, not counting the title or references pages, which must be included. The paper should follow an organized format that includes an introduction, a body discussing the topics in fully developed paragraphs and then end with a conclusion summarizing the points in the paper.
Be sure to follow the APA Requirements. The paper must be supported by citations at least four 5-7 academic references in addition to the course textbook or course materials.
References
Albrecht, W. S., Albrecht, C. O., Albrecht, C. C., & Zimbelman, M. F. (2018). Fraud examination Sixth Edition. Mason, OH: South-Western Cengage Learning.
Button, M., Lewis, C., & Tapley, J. (2014). Not a victimless crime: The impact of fraud on individual victims and their families. Security Journal, 27(1), 36-54.
Donahue, K. M. (2015). Combating fraud, waste and abuse: A more proactive approach is the answer. Journal of Government Financial Management, 64(1), 54-55.
Eisen, O. (2012, March 20). Fraud prevention tips everybody should know (but doesn't). Business Insider.
Hall, J. (2016). The "Anti-fraud moment." Internal Auditor, 73(1), 35-37.
Henry, L. (2016). Fraud prevention. Internal Auditor, 73(2), 17-19.
Morang, S. (2017). Turning up the heat on fraud. Internal Auditor, 74(1), 18-19.