WGU D551 PRE-ASSESSMENT: FRAUD AND
FORENSIC ACCOUNTING | 505 ACTUAL
QUESTIONS AND ANSWERS | 2025/26
UPDATE | WITH COMPLETE SOLUTION!!
, Fraudulent activities where vendors manipulate or deceive the purchasing
organization.
Many believe that fraud cases begin with schemes too large to catch with just
one audit, but they often start with small misstatements.
Don't know?
2 of 505
Term
What are some examples of inadequate disclosure fraud?
Give this one a try later!
Presenting individual
The Statement of Cash Flows shows
categories of fixed assets in
a Company's sources and uses of
the financial statements
cash, but not on an accrual basis.
instead of in footnotes.
Control activities include adequate
They can provide insights but are
segregation of duties, proper
not as effective as documentary
procedures for authorization, and
symptoms for contingent liabilities.
adequate documents and records.
Don't know?
3 of 505
Term
,What element of the fraud triangle does a strong code of conduct
reduce?
Give this one a try later!
Analytical symptom. Rationalization.
It implies that auditors do not
guarantee the detection of all fraud,
Improperly recognizing revenue.
only a reasonable assurance of its
absence.
Don't know?
4 of 505
Term
What is the role of internal audit committees in fraud prevention?
Give this one a try later!
To handle human resources policies. To oversee marketing strategies.
To ensure capable oversight
To manage daily financial
and involvement in decision-
transactions.
making processes.
Don't know?
, 5 of 505
Term
What is the most common type of footnote disclosure fraud?
Give this one a try later!
It could cause a conflict of interest if auditors become too close.
Failure to disclose material related party transactions is likely the most
common type of footnote disclosure fraud.
They don't know who to tell or how to come forward, they don't want to wrongly
accuse someone, and they usually only have suspicions without cold, hard facts.
Auditors must publish their work papers so financial statement users can
evaluate the thoroughness of the audits.
Don't know?
6 of 505
Term
What is the correct answer to the question about management
override of internal controls?
Give this one a try later!
FORENSIC ACCOUNTING | 505 ACTUAL
QUESTIONS AND ANSWERS | 2025/26
UPDATE | WITH COMPLETE SOLUTION!!
, Fraudulent activities where vendors manipulate or deceive the purchasing
organization.
Many believe that fraud cases begin with schemes too large to catch with just
one audit, but they often start with small misstatements.
Don't know?
2 of 505
Term
What are some examples of inadequate disclosure fraud?
Give this one a try later!
Presenting individual
The Statement of Cash Flows shows
categories of fixed assets in
a Company's sources and uses of
the financial statements
cash, but not on an accrual basis.
instead of in footnotes.
Control activities include adequate
They can provide insights but are
segregation of duties, proper
not as effective as documentary
procedures for authorization, and
symptoms for contingent liabilities.
adequate documents and records.
Don't know?
3 of 505
Term
,What element of the fraud triangle does a strong code of conduct
reduce?
Give this one a try later!
Analytical symptom. Rationalization.
It implies that auditors do not
guarantee the detection of all fraud,
Improperly recognizing revenue.
only a reasonable assurance of its
absence.
Don't know?
4 of 505
Term
What is the role of internal audit committees in fraud prevention?
Give this one a try later!
To handle human resources policies. To oversee marketing strategies.
To ensure capable oversight
To manage daily financial
and involvement in decision-
transactions.
making processes.
Don't know?
, 5 of 505
Term
What is the most common type of footnote disclosure fraud?
Give this one a try later!
It could cause a conflict of interest if auditors become too close.
Failure to disclose material related party transactions is likely the most
common type of footnote disclosure fraud.
They don't know who to tell or how to come forward, they don't want to wrongly
accuse someone, and they usually only have suspicions without cold, hard facts.
Auditors must publish their work papers so financial statement users can
evaluate the thoroughness of the audits.
Don't know?
6 of 505
Term
What is the correct answer to the question about management
override of internal controls?
Give this one a try later!
