Interpretation of Flags | Homework Helpers

Interpretation of Flags.
Option #2: Interpretation of Red Flags
As a trainer for a forensic accounting firm, you have been asked to establish a matrix to provide the firm s investigation teams with a symptom list to aid them in their assessment of potentially fraudulent actions. As part of this, matrix you have included a list of possible red-flag search results, which could be indicators of specific fraudulent activity that is occurring. For example:

Red-flag: Your research has uncovered vendor invoices that have alterations on the purchase order documents (e.g., back dating, white-out) that are supposed to support these invoices.
Potential Activity: Goods are being purchased for personal use.
Type of Fraud: Employee are committing purchasing fraud.

Don't use plagiarized sources. Get Your Custom Essay on
Interpretation of Flags | Homework Helpers
Get an essay WRITTEN FOR YOU, Plagiarism free, and by an EXPERT!
Order Essay

The red-flags noted during the investigation:

Duplicate payments to the same vendor with no backup documentation
Excessive number of adjusting entries, and repetitive use of adjusting entries for no apparent purpose
Price increases by one vendor of 30% year-over-year
No original contractor documents available only photocopied documents
An employee who shares the same address, telephone number or bank account number with an accounts payable vendor
Missing inventory and equipment
Unexplained items on bank reconciliations and other account reconciliations.

In the last section of your paper, please discuss other types of red-flags that you would look for during an investigation as discuss their importance. Keep in mind that different types of investigations would likely lead to the analysis of different source documents and metrics.
Please submit a paper in a Word document of THREE to five pages in length, not including the title and reference pages. If you wish to include calculations in support of your response, place them in the form of a table within your paper. Cite at least two resources supporting your responses, other than the course textbook.

Interpretation of Flags

superadmin

Recent Posts

LDR 3302-21.01.01-1A24-S1, Organizational Theory and Behavior

LDR 3302-21.01.01-1A24-S1, Organizational Theory and Behavior Unit III Essay Top of Form Bottom of Form…

3 years ago

Psychology Question | My Essay Helpers

Chapter 9 What are teratogens? Give 5 examples. Define each of these stages: Germinal, embryonic,…

4 years ago

Financial Market Analysis | My Essay Helpers

You are a Financial Analyst that has been appointed to lead a team in the…

4 years ago

Decision theory | My Essay Helpers

This week’s discussion will focus on management decision-making and control in two companies, American corporation…

4 years ago

Literature Question | My Essay Helpers

Mary Rowlandson felt that the man who eventually came to own her, Quinnapin, was “the…

4 years ago