2-1 acc 421

Overview

It is important to know how to analyze details and look for specifics that help to tell the story about a fraud case. In this short paper, you will review cases related to the three classifications of fraud and respond to questions about those cases.

This assignment will help you complete Project One, where you will respond to similar questions based on fraud cases you identify from recent news articles. You will use the elements of the fraud triangle to evaluate the scenario and review the system of internal controls.

Directions

Review the cases provided in the Supporting Materials section below. Then evaluate each case to identify the type of fraud, the possible motivation for the fraud, internal controls, weaknesses in those controls, methods for detecting the fraud, and how it might be prevented.

Specifically, you must address the following rubric criteria:

1. Explain a rationale for the classification of occupational fraud within each case. Include the following details in your response:
2. Identify the major fraud category outlined in each case.
3. Identify the fraud subcategory for each case. There may be more than one subcategory.
4. Evaluate the scenario outlined in each case based on the fraud triangle. Include the following details in your response:
5. Identify weaknesses (risks) in internal controls (opportunities) in each case.
6. Identify possible pressures faced by the individual(s) who committed the fraud.
7. Suggest possible rationalizations for the person or people who committed the fraud.
8. Explain existing internal controls evident in each case.
9. Determine at least two potential methods for detecting the fraud for each case.
10. Recommend a policy improvement to prevent fraud in each case.