AC572 MADOFF RESEARCH PROJECT:
Frauds are reported in local and national newspapers on an almost daily basis.
Recently, we have heard much about the fraud committed by Bernard Madoff.
Please consider several resources and research the Madoff case to addre
Chapter 3 Fighting Fraud: An Overview
MULTIPLE CHOICE 1. Which of the following are the most effective fraud detectors? a. Auditors b. Customers c. Vendors d. Employees ANS: D A: Auditors usually detect fraud when there are red flags in the financial stat
Chapter 1 The Nature of Fraud
MULTIPLE CHOICE 1. One way that criminal law differs from civil law is that it: a. Provides remedies for violations of private rights. b. Must yield a unanimous verdict. c. Can have a jury of fewer than 12 persons. d. Allows
Chap. 13: 1.When the objective of an interview is to gather information from neutral or corroborative witnesses, which one of the following isn't a type of question to ask? 2.If you have reason to believe that the respondent in an interview is not being t
Homework #1 Chapters 1 3
Name: _ Section: _
True/False 1. 2. 3. 4. F F T T Telemarketing fraud is an example of employee embezzlement  Unintentional errors in financial statements are a form of fraud  In customer fraud, customers do not pay for good
Chapter 8 Investigating Concealment
MULTIPLE CHOICE 1. _ are commonly used by attorneys involved in litigation to track documents a. RFID tags b. Bates numbers c. Bar codes d. All of the above ANS: B B: Correct 2. Secondary evidence may be used in all of
Data-Driven Fraud Detection
1. Which statement is false?
a. In recent years there have been many cases of financial statement fraud.
b. Proactive fraud detection methods are in their infancy.
c. Fraud investigation involves ident
Chapter 12 Revenue- and Inventory-Related Financial Statement Frauds
MULTIPLE CHOICE 1. Revenue-related financial statement fraud is prevalent for all of the following reasons except: a. There are numerous accounting methods for recognizing revenue. b. Re
Chapter 2 Why People Commit Fraud
MULTIPLE CHOICE 1. Which of the following is not a common rationalization of fraud perpetrators? a. The organization owes me b. I'm only borrowing the money c. No one will get hurt d. All of the above are common rationali
1. A(n) _ is a means of securing documents in the other partys possession that are relevant to the issues of the case.
b. Request for admission
d. Production request
Chapter 5 Recognizing the Symptoms of Fraud
MULTIPLE CHOICE 1. Of the elements of fraud, which is usually least likely to be detected by auditors? a. Theft act b. Concealment c. Conversion d. Personal pressures ANS: A A: The actual act is hardest for an a
Chapter 9 Conversion Investigation Methods
MULTIPLE CHOICE 1. Which of the following types of information do credit reporting agencies not maintain? a. Information of current and former employers b. Account information such as payment schedules, items pur
Chapter 11 Financial Statement Fraud
MULTIPLE CHOICE 1. Which of the following is true? a. Most financial statement frauds occur in large historically profitable companies. b. Most people who commit management fraud are first-time offenders. c. An active
Chapter 13 Liability, Asset, and Inadequate Disclosure Frauds
MULTIPLE CHOICE 1. Which of the following is an example of asset overstatement fraud? a. Not recording contingent liabilities b. Under recording debt c. Under recording depreciation expenses d.
The order in which Craig conducted his investigation was appropriate because he
began from the outside and worked inward towa
1. What Regina is doing is called false refunds. It is one of several different register
disbursement schemes, which are among the least costly of all
Financial statement fraud is very different than embezzlement and misappropriation.
Perpetrators of financial statement fraud are usually members of to
It is possible that James could be committing fraud.
1. Fraud symptoms:
Outstanding bills need to be paid.
Lawsuits are pendin
First, Nellie should develop a system to monitor suppliers and buyers associated with the
company. A few easy queries can be installed in data and accou
Chapter 14 Deterrence and prevention are terms that mean the same thing. False Removing the root cause of fraudulent behavior such as economic deprivation is called fraud deterrence. False Modification of behavior through the perception of negative sancti
Econ 118 Chapter 1 Review Questions 1. Fraud examination is the process of resolving allegations of fraud from inception to disposition. It involves taking statements, interviewing witness, writing reports, testifying to findings, assisting in detection a
Econ 118 Chapter 2 Review Questions 1. Skimming is defined as the theft of cash prior to its entry into the accounting system. 2. The two principal categories of skimming are cash schemes and non-cash schemes. Cash schemes are more common that non-cash sc
Investigating Theft Acts
1. Which of the following is the last step in an investigation?
a. Interview suspect
b. Interview former employees
c. Interview other buyers or co-workers
B: Incorrect -
Chapter 10 Inquiry Methods and Fraud Reports
MULTIPLE CHOICE 1. Which of the following is a characteristic of a good interviewer? a. One who interrupts respondents b. One who is able to get others to open up and share information c. One who interviews in
Chapter 4 Preventing Fraud
MULTIPLE CHOICE 1. The default model that deals with fraud has which of the following stages a. Fraud incident b. Action c. Resolution d. All of the above ANS: D D: Correct- all of them are in the default model of fraud 2. The f
1. Consumer fraud is described as any fraud that:
a. Is committed by a consumer
b. Takes place against an individual
c. Is fraud committed within an organization
d. Comes from a separate country
Bankruptcy, Divorce, and Tax Fraud
1. All bankruptcy petitions are subject to
a. Federal claims court jurisdiction
b. U.S. Tax court jurisdiction
c. Supreme court jurisdiction
d. U.S. district court jurisdiction
Fraud in E-Commerce
1. Which activity is used legitimately by companies to monitor network traffic, but may also be used illegally to capture confidential information?
RUBRIC AC572 CASE STUDY 1 DUE WEEK THREE