Question 1

Which of the following ratios will increase in a liability fraud?

Accepted Answer

A)  Accounts payable ÷ purchases 
B)  Interest expense ÷ notes payable 
C)  Total liabilities ÷ total assets 
D)  Lease expense ÷ total fixed assets 
A)  Accounts payable ÷ purchases 
B)  Interest expense ÷ notes payable 
C)  Total liabilities ÷ total assets 
D)  Lease expense ÷ total fixed assets

Question 2

With many financial statement frauds, (Net Income-Cash from Operations)/Total Assets will _________ over time:

Accepted Answer

A)  Stay around zero. 
B)  Be positive. 
C)  Be negative. 
D)  Can't be determined. 
A)  Stay around zero. 
B)  Be positive. 
C)  Be negative. 
D)  Can't be determined.

Question 3

Reviewing the current ratio can help discover:

Accepted Answer

A)  Long-term debt relationships 
B)  Inadequate Disclosure fraud 
C)  Contingent Liability fraud 
D)  Asset fraud 
A)  Long-term debt relationships 
B)  Inadequate Disclosure fraud 
C)  Contingent Liability fraud 
D)  Asset fraud

Question 4

Which of the following are ways/opportunities to overstate assets?

Accepted Answer

A)  In mergers and restructuring 
B)  Through inter-company accounts 
C)  In accounts receivable and inventory 
D)  All of the above 
A)  In mergers and restructuring 
B)  Through inter-company accounts 
C)  In accounts receivable and inventory 
D)  All of the above

Which of the following ratios will increase in a liability fraud?

With many financial statement frauds, (Net Income-Cash from Operations)/Total Assets will _________ over time:

Reviewing the current ratio can help discover:

Which of the following are ways/opportunities to overstate assets?

The Nature of Fraud

Why People Commit Fraud

Fighting Fraud: An Overview

Preventing Fraud

Recognizing the Symptoms of Fraud

Data-Driven Fraud Detection

Investigating Theft Acts

Investigating Concealment

Conversion Investigation Methods

Inquiry Methods and Fraud Reports

Financial Statement Fraud

Revenue- and Inventory-Related Financial Statement Frauds

Fraud Against Organizations

Consumer Fraud

Bankruptcy, Divorce, and Tax Fraud

Fraud in E-Commerce

Legal Follow-Up

Filters

Exam 13: Liability, Asset, and Inadequate Disclosure Frauds

Which of the following ratios will increase in a liability fraud?

With many financial statement frauds, (Net Income-Cash from Operations)/Total Assets will _________ over time:

Reviewing the current ratio can help discover:

Which of the following are ways/opportunities to overstate assets?

The Nature of Fraud

Why People Commit Fraud

Fighting Fraud: An Overview

Preventing Fraud

Recognizing the Symptoms of Fraud

Data-Driven Fraud Detection

Investigating Theft Acts

Investigating Concealment

Conversion Investigation Methods

Inquiry Methods and Fraud Reports

Financial Statement Fraud

Revenue- and Inventory-Related Financial Statement Frauds

Fraud Against Organizations

Consumer Fraud

Bankruptcy, Divorce, and Tax Fraud

Fraud in E-Commerce

Legal Follow-Up

Filters