WGU D551 C254 FRAUD AND FORENSIC
ACCOUNTING PA AND OA
COMPREHENSIVE SCRIPT 2026 COMPLETE
QUESTIONS AND SOLUTIONS GRADED A+
⩥ What can be a result of failing to carry out a legitimate instruction
from a supervisor? Answer: It can be considered a violation of company
policy and subject to corrective action.
⩥ What is the purpose of a walkthrough in auditing? Answer: To achieve
objectives through inquiry, inspection, observation, and re-performance
of procedures.
⩥ What are the two major types of fraud investigations? Answer:
Reactive and proactive.
⩥ What does reactive fraud investigation entail? Answer: It occurs after
there is a reason to suspect fraud or after a significant loss.
⩥ What is a proactive fraud investigation? Answer: A preventive
approach that includes reviewing internal controls and identifying areas
of fraud exposure.
,⩥ How much does the threat of a future investigation reduce fraudulent
behavior? Answer: From 75 percent to only 43 percent.
⩥ Name one proactive approach to fraud detection. Answer: Effective
internal controls.
⩥ What is the first principle of the AICPA, IIA, and ACFE regarding
fraud risk management? Answer: A fraud risk management program or
anti-fraud program should be in place.
⩥ How often should fraud risk exposure be assessed? Answer:
Periodically, to identify specific potential schemes and events.
⩥ What should be established to mitigate potential key fraud risk
events? Answer: Prevention techniques.
⩥ What should be established to uncover fraud events when preventive
measures fail? Answer: Detection techniques.
⩥ What is a key step to take once fraud is discovered? Answer: Call
legal counsel.
⩥ Why is it important to involve the insurance carrier early in a fraud
case? Answer: To avoid compromising insurance coverage.
, ⩥ What should be done to safeguard existing assets from further damage
after fraud is discovered? Answer: Take immediate protective steps.
⩥ What is a recommended approach for gathering evidence during a
fraud investigation? Answer: Quietly and confidentially gather evidence
without compromising legal rights.
⩥ What percentage of fraud incidents result in disciplinary action
according to KPMG? Answer: 54 percent.
⩥ What percentage of fraud incidents result in enforcement action such
as legal or police involvement? Answer: 45 percent.
⩥ What is one principle companies should employ to help stop fraud?
Answer: Maintain a fraud hotline.
⩥ What should companies do to ensure ethical behavior among
employees? Answer: Have a written and signed ethics policy.
⩥ What is a common symptom of fraud to look for in source
documents? Answer: Items that should match but do not.
ACCOUNTING PA AND OA
COMPREHENSIVE SCRIPT 2026 COMPLETE
QUESTIONS AND SOLUTIONS GRADED A+
⩥ What can be a result of failing to carry out a legitimate instruction
from a supervisor? Answer: It can be considered a violation of company
policy and subject to corrective action.
⩥ What is the purpose of a walkthrough in auditing? Answer: To achieve
objectives through inquiry, inspection, observation, and re-performance
of procedures.
⩥ What are the two major types of fraud investigations? Answer:
Reactive and proactive.
⩥ What does reactive fraud investigation entail? Answer: It occurs after
there is a reason to suspect fraud or after a significant loss.
⩥ What is a proactive fraud investigation? Answer: A preventive
approach that includes reviewing internal controls and identifying areas
of fraud exposure.
,⩥ How much does the threat of a future investigation reduce fraudulent
behavior? Answer: From 75 percent to only 43 percent.
⩥ Name one proactive approach to fraud detection. Answer: Effective
internal controls.
⩥ What is the first principle of the AICPA, IIA, and ACFE regarding
fraud risk management? Answer: A fraud risk management program or
anti-fraud program should be in place.
⩥ How often should fraud risk exposure be assessed? Answer:
Periodically, to identify specific potential schemes and events.
⩥ What should be established to mitigate potential key fraud risk
events? Answer: Prevention techniques.
⩥ What should be established to uncover fraud events when preventive
measures fail? Answer: Detection techniques.
⩥ What is a key step to take once fraud is discovered? Answer: Call
legal counsel.
⩥ Why is it important to involve the insurance carrier early in a fraud
case? Answer: To avoid compromising insurance coverage.
, ⩥ What should be done to safeguard existing assets from further damage
after fraud is discovered? Answer: Take immediate protective steps.
⩥ What is a recommended approach for gathering evidence during a
fraud investigation? Answer: Quietly and confidentially gather evidence
without compromising legal rights.
⩥ What percentage of fraud incidents result in disciplinary action
according to KPMG? Answer: 54 percent.
⩥ What percentage of fraud incidents result in enforcement action such
as legal or police involvement? Answer: 45 percent.
⩥ What is one principle companies should employ to help stop fraud?
Answer: Maintain a fraud hotline.
⩥ What should companies do to ensure ethical behavior among
employees? Answer: Have a written and signed ethics policy.
⩥ What is a common symptom of fraud to look for in source
documents? Answer: Items that should match but do not.
