MBA 710 - Huang LSUS (modules 1- 3)TEST with 100% correct Answers

MBA 710 - Huang LSUS (modules 1- 3)TEST with 100% correct Answers The following data can be used to perform benchmarking. A. budget data B. historical C. industry data D. all of the above *Ans* all of the above Match social security number to the employee name to see if there are multiple names under one SSN. This is a___. *Ans* duplicate testing Why do we need to identify the amounts just below the threshold? *Ans* Fraudster tries to avoid internal control by using the number lower than the threshold & maximizes his/her benefit from fraud. Why do we need to look into the round dollar payment? *Ans* Real transactions do not occur in simple round numbers. Bedford's law can be used to detect fraud because: *Ans* The frequency of the natural numbers has a pattern. Why do we need to know how the data is generated when we perform the analysis? *Ans* (Garbage in, garbage out) If the data is not generated or structured properly then the results are meaningless. Which category of occupational fraud is most common? *Ans* asset misappropriation Which category is the costliest of occupational fraud? *Ans* financial statement fraud Which fraud isn't a sub scheme of asset misappropriation? *Ans* conflict of interest The most common method of detecting occupational fraud is: *Ans* tips What is the top control weakness in nonprofit organizations? *Ans* lack of internal control Which type of organization is the most frequent victim of occupational fraud? *Ans* private company Which level of authority commits the most occupational fraud: *Ans* employee Most perpetrators have a degree of: *Ans*