Preparing for prosecution of financial statement fraud

Assignment Help Operation Management

Reference no: EM132140267

As a certified fraud examiner, Laura Wu has been retained by an attorney to investigate an overstatement of revenue fraud at Unlimited Growth Ltd. All sales to the company are on credit (i.e., there are no cash sales). Laura has found an entry in the records debiting accounts receivable and crediting the Sales account on the last day of the fiscal year.

a. Would confirmations help her gather evidence in preparing for prosecution of financial statement fraud? Why?

b. Laura employed a novice fraud examiner to help her in the investigation. After an employee of Unlimited Growth had prepared the confirmation letters (using the positive “in-blank” type), her novice fraud examiner reviewed the letters and asked another employee (who had worked at Unlimited Growth for 12 years and had a character that was beyond reproach) to mail them for him. The confirmations were all returned, and all recipients had indicated that the information provided in the letter agreed with their records. Should Laura be concerned about the process her fraud examiner used and the results?

Reference no: EM132140267

Questions Cloud

Organizations considering integrating positive social change : What are the benefits for organizations considering integrating positive social change into their business strategy?

Objectives uber should undertake immediately : What are the 4 objectives Uber should undertake immediately? Please explain why.

Three major provisions of the fair labor standards act : Discuss the three major provisions of the Fair Labor Standards Act (FLSA).

Elements of paid vacation : In this situation what would be an example of feedforward control, concurrent control, and feedback control? Also keeping in mind the following elements of paid

Preparing for prosecution of financial statement fraud : Would confirmations help her gather evidence in preparing for prosecution of financial statement fraud? Why?

Do you agree or disagree with central thesis of this book : Discussion - You Are Not a Gadget - Do you agree or disagree with the central thesis of this book? Explain. (Minimum 100 words)

Market economies stimulate greater economic growth : Discuss how does the free market economies stimulate greater economic growth, whereas state-directed economies stifle growth.

Will you be working with other organizations on this grant : What resources and competencies does it have to successfully use the grant? Will you be working with other organizations on this grant?

Discuss the current research protocols that were violated : Summarize the Tuskegee experiment. Explain the risks to participants. Discuss the current research protocols that were violated.

User Account

All Pages