Exam 4: Preventing Fraud

Jim is a crook. He embezzled $450,000 from his employer. The day Jim's employer found out about his misdeeds but before it conducted a thorough investigation it went to the newspaper and told the publisher all about it. The next day Jim read his own story, with his own name, in the newspaper. Which of the following is correct?

What is the most likely way to deter fraud?

Approximately _____ of all frauds are committed by individuals acting alone. The remaining _____ involve collusion and often involve the _____ thefts.

What method results in the biggest savings?

Fraud is prevented and reduced by:

The following are (is a) good control(s) for preventing fraud

Given all of the following fraud prevention methods within organizations, which of the following is probably the most effective?

A company's code of ethics should __________.

Which elements of the fraud triangle need to come together before fraud is likely to occur?

What does the acronym "EAP" stand for?

Who has the primary responsibility for establishing and maintaining controls?

What is the single greatest factor in deterring dishonest acts?

True or false: The majority of frauds committed against companies involve collusion.

The correct order of the six elements of Fraud-Savvy Organizations is:

Developing and promoting a company code of conduct is one aspect of which area of a fraud-savvy organization?

Unfortunately, the responsibility for preventing fraud is often seen in many organizations as belonging to:

Proactive fraud auditing involves identifying ___________ exposures and identifying the fraud ___________ for each exposure.

What is the last step in the "Dealing with Fraud" Model

Random auditing for fraud

Which of the following is NOT one of the four steps involved in good proactive fraud auditing?