Fraud Examination
Höfundar:
W. Steve Albrecht, Chad O. Albrecht, Conan C. Albrecht, Mark F. Zimbelman (Útgáfa: 7)
Kaup valmöguleikar
Learn to identify, detect, investigate and prevent financial fraud today with Albrecht/Albrecht/Albrecht/Zimbelman's Fraud Examination, 7th Edition. Develop the skills to detect fraud skills and become a better interviewer, a stronger and more skeptical document examiner, a more effective technology user and a more informed decision-maker. You gain a strong understanding of the types of fraud and nature of fraud investigation today with current business examples and numerous actual fraud cases, delivered first-hand from the authors' experience.
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- Cengage Learning US
- 9798214048413
- 9780357721759
- ePub
- 7
- W. Steve Albrecht, Chad O. Albrecht, Conan C. Albrecht, Mark F. Zimbelman
- English
- 2024-03-05
- 100
- 2
- 2
Kaflar
- Cover Page
- Title Page
- Copyright Page
- Dedication
- About the Authors
- Foreword
- Preface
- Acknowledgments
- Part 1. Understanding and Preventing Fraud
- Chapter 1. The Nature of Fraud
- Seriousness of the Fraud Problem
- What Is Fraud?
- Charles Ponzi and the Famous Ponzi Scheme
- Fraud, Greed, Deception, and Confidence
- Types of Fraud
- Employee Embezzlement
- Vendor Fraud
- Customer Fraud
- Management Fraud
- Investment Scams and Other Consumer Frauds
- Criminal and Civil Prosecution of Fraud
- Criminal Law
- Civil Law
- How to Prepare to Be a Fraud-Fighting Professional
- Certified Fraud Examiners
- Academic Requirements
- Professional Requirements
- CFE Examination
- Fraud-Related Careers
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Debates
- Internet Assignments
- Chapter 2. Who Commits Fraud and Why They Commit It
- Who Commits Fraud
- Why People Commit Fraud
- The First Element of the Fraud Triangle: Perceived Pressure
- Financial Pressures
- Vice Pressures
- Work-Related Pressures
- Other Pressures
- The Second Element of the Fraud Triangle: Opportunity
- Control Factor: Controls That Prevent and/or Detect Fraudulent Behavior
- Summary of the Controls That Prevent or Detect Fraud
- Non-Control Factor: Inability to Judge the Quality of Performance
- Non-Control Factor: Failure to Discipline Fraud Perpetrators
- Non-Control Factor: Lack of Access to Information
- Non-Control Factor: Ignorance, Apathy, and Incapacity
- Non-Control Factor: Lack of an Audit Trail
- The Third Element of Fraud: Rationalization
- Summary of the Fraud Triangle
- Review of the Learning Objectives
- Key Terms
- Exercises
- Objective Questions
- Short Cases
- Extensive Cases
- Other Fraud Assignments
- Debate
- Chapter 3. Fighting Fraud: An Overview
- Knowing Different Ways That Organizations Fight Fraud
- Fraud Prevention
- Creating a Culture of Honesty and High Ethics
- Assessing and Mitigating the Risk of Fraud
- Fraud Detection
- Fraud Investigation
- Approaches to Fraud Investigation
- Conducting a Fraud Investigation
- Follow-Up Legal Action
- Civil Action
- Criminal Action
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Appendix A. Red Hat Code of Business Conduct and Ethics
- Chapter 4. Preventing Fraud
- Just about Everyone Can Be Dishonest
- Creating a Culture of Honesty, Openness, and Assistance
- Hiring Honest People and Providing Fraud Awareness Training
- Verify Applicant’s Résumé and Application
- Certify That Application and Résumé Are Accurate
- Train Those Involved in the Hiring Process
- Creating a Positive Work Environment
- Implementing Employee Assistance Programs (EAPs)
- Eliminating Opportunities for Fraud to Occur
- Having a Good System of Internal Controls
- Discouraging Collusion between Employees and Others and Alerting Vendors and Contractors to Company Policies
- Monitoring Employees and Having a Whistleblowing System
- Creating an Expectation of Punishment
- Conducting Proactive Fraud Auditing
- Preventing Fraud—A Summary
- A Comprehensive Approach to Fighting Fraud
- Organizations and Fraud—The Current Model
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Part 2. Detecting Fraud
- Chapter 5. Recognizing the Symptoms of Fraud
- Symptoms of Fraud
- Accounting Anomalies
- Irregularities in Source Documents
- Faulty Journal Entries
- Inaccuracies in Ledgers
- Internal Control Weaknesses
- Analytical Fraud Symptoms
- Extravagant Lifestyles
- Unusual Behaviors
- Tips and Complaints
- Company Employees Are in the Best Position to Detect Fraud
- Tips and Complaints Are Fraud Symptoms
- New Laws Protect Whistleblowers and Promote Fraud Detection
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Chapter 6. Data-Driven Fraud Detection
- Errors and Frauds
- Audit Sampling and Fraud
- The Data Analysis Process
- Step 1: Understand the Business
- Step 2: Identify Possible Frauds That Could Exist
- Step 3: Catalog Possible Fraud Symptoms
- Step 4: Use Technology to Gather Data about Symptoms
- Step 5: Analyze Results
- Step 6: Investigate Symptoms
- Data Analysis Software
- Data Access
- Open Database Connectivity
- Text Import
- Hosting a Data Warehouse
- Data Analysis Techniques
- Data Preparation
- Digital Analysis
- Artificial Intelligence and Fraud Detection
- Outlier Investigation
- Stratification and Summarization
- Time Trend Analysis
- Fuzzy Matching
- Real-Time Analysis
- Analyzing Financial Statements
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Appendix A. Examples of the Data-Driven Approach
- Part 3. Investigating Fraud
- Chapter 7. Investigating Theft Acts
- Deciding When to Investigate
- Beginning an Investigation
- Developing a Vulnerability Chart
- Theft Act Investigation Methods
- Surveillance and Covert Operations
- Invigilation
- Physical Evidence
- Electronic Evidence
- Forensic Software Packages
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Chapter 8. Investigating Concealment
- Concealment Investigative Methods
- Aspects of Documentary Evidence
- Obtaining Documentary Evidence
- Document Experts
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Chapter 9. Conversion Investigation Methods
- Conversion Searches
- Government Sources of Information
- Federal Sources
- State Sources of Information
- County and Local Records
- Private Sources of Information
- Online Databases
- Internet Search
- The Net Worth Method
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Chapter 10. Inquiry Methods and Fraud Reports
- Interviewing—An Overview
- Characteristics of a Good Interview
- Characteristics of a Good Interviewer
- Understanding Reaction to Crisis
- Stage 1. Denial
- Stage 2. Anger
- Stage 3. Rationalization
- Stage 4. Depression
- Stage 5. Acceptance
- Planning an Interview
- The Interviewer’s Demeanor
- The Language of Interviews
- Question Typology
- Elements of Conversation
- Inhibitors of Communication
- Facilitators of Communication
- Mechanics of the Interview
- Introductory Questions
- Methodology
- Informational Questions
- Question Sequence
- Informational Question Techniques
- Note-Taking
- Observing Respondent Reactions
- Theme Development
- Transition Methodology
- Dealing with Resistance
- Difficult People
- Volatile Interviews
- Assessment Questions
- Detecting Deception
- Methodology of Assessment Questions
- Admission-Seeking Questions
- Steps in the Admission-Seeking Interview
- Refute Alibis
- Physical Evidence
- Specifics of Each Offense
- Signed Statements
- Key Points in Signed Statements
- Honesty Testing
- Pencil-and-Paper Test
- Graphology
- Voice Stress Analysis and Polygraphs
- The Fraud Report
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Appendix A. Sample Signed Statement
- Appendix B. An Example Fraud Report
- Part 4. Financial Statement Fraud
- Chapter 11. Financial Statement Fraud
- The Problem of Financial Statement Fraud
- Financial Statement Fraud in Recent Decades
- Why These Problems Occurred
- Element 1: A Booming Economy
- Element 2: Decay of Moral Values
- Element 3: Misplaced Incentives
- Element 4: High Analysts’ Expectations
- Element 5: High Debt Levels
- Element 6: Focus on Accounting Rules Rather than Principles
- Element 7: Lack of Auditor Independence
- Element 8: Greed
- Element 9: Educator Failures
- Nature of Financial Statement Fraud
- Financial Statement Fraud Statistics
- Motivations for Financial Statement Fraud
- A Framework for Detecting Financial Statement Fraud
- Management and the Board of Directors
- Management’s Background
- Management’s Motivations
- Management’s Influence in Making Decisions for the Organization
- Relationships with Others
- Relationships with Financial Institutions
- Relationships with Related Organizations and Individuals
- Relationships with Auditors
- Relationships with Lawyers
- Relationships with Investors
- Relationships with Regulatory Bodies
- Organization and Industry
- Financial Results and Operating Characteristics
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Appendix A. Laws and Corporate Governance Changes Following the Sarbanes-Oxley Act
- Chapter 12. Revenue- and Inventory-Related Financial Statement Frauds
- Revenue-Related Fraud
- Acceptable Alternatives
- Ease of Manipulating Net Income Using Revenues and Receivables
- Identifying Revenue-Related Fraud Exposures
- Identifying Revenue-Related Fraud Symptoms
- Actively Searching for Revenue-Related Fraud Symptoms
- Actively Searching for Revenue-Related Analytical Symptoms
- Actively Searching for Accounting or Documentary Symptoms
- Actively Searching for Control Symptoms
- Actively Searching for Behavioral or Verbal and Lifestyle Symptoms
- Actively Searching for Tips and Complaints
- Following Up on Revenue-Related Fraud Symptoms
- Inventory and Cost of Goods Sold Frauds
- Identifying Inventory-Related Fraud Exposures
- Identifying Inventory-Related Fraud Symptoms
- Searching for Inventory-Related Fraud Symptoms
- Searching for Inventory and Cost of Goods Sold Analytical Symptoms
- Actively Searching for Accounting or Documentary Symptoms
- Actively Searching for Inventory-Related Control Symptoms
- Actively Searching for Behavioral or Verbal and Lifestyle Symptoms
- Actively Searching for Tips and Complaints
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Appendix A. Strategic Reasoning and Detecting Revenue- and Inventory-Related Fraud
- Chapter 13. Liability, Asset, and Inadequate Disclosure Frauds
- Ways to Manipulate Liabilities
- Identifying Understatement of Liability Fraud Exposures
- Understating Accounts Payable
- Understating Accrued Liabilities
- Recognizing Unearned Revenue (Liability) as Earned Revenue
- Understating Future Obligations
- Not Recording or Understating Various Types of Debt (Notes, Mortgages, etc.)
- Omission of Contingent Liabilities
- Detecting Understatement of Liability Fraud Symptoms
- Analytical Symptoms
- Accounting or Documentary Symptoms
- Proactively Searching for Symptoms Related to the Understatement of Liabilities
- Focusing on Changes in Recorded Balances from Period to Period
- Focusing on Changes in Relationships from Period to Period
- Comparing Financial Statement Information with Other Companies
- Comparing Liability Balances with Assets They Are Supposed to Represent
- Actively Searching for “Accounting and Documentary” Symptoms
- Overstatement of Asset Fraud
- Identifying Asset Overstatement Fraud
- Improperly Capitalizing Costs as Assets
- The Slippery Slope of Earnings Management
- Inflated Assets through Mergers and Acquisitions (or Restructuring) or by Manipulating Intercompany Accounts and/or Transactions
- Overstatement of Fixed Assets (Property, Plant, and Equipment) and Natural Resources
- Cash and Short-Term Investment Fraud
- Overstatement of Accounts Receivable (Not Related to Revenue Recognition) or Inventory (Not Related to Cost of Goods Sold)
- Summary of Overstatement of Asset Fraud Exposures
- Identifying and Actively Searching for Asset Overstatement Fraud Symptoms
- Inappropriately Capitalizing Costs That Should Be Expensed
- Overstating Assets through Mergers, Acquisitions, or Restructurings or Manipulating Intercompany Accounts or Transactions
- Overstatement of Cash and Short-Term Investments (Including Marketable Securities)
- Overstatement of Receivables and/or Inventory (Not Revenue- or Cost of Goods Sold-Related)
- Inadequate Disclosure Fraud
- Kinds of Disclosure Fraud
- Misrepresentations about the Nature of the Company or Its Products
- Misrepresentations in MD&A and Other Nonfinancial Information in Financial Reports
- Misleading Footnote Disclosures
- Detecting Inadequate Disclosure Fraud
- Symptoms Related to Overall Misrepresentation about the Company or Its Assets
- Disclosure Fraud Related to Financial Reports and Financial Statement Footnotes
- Other Types of Financial Statement Fraud
- Inappropriate Accounting for Nonmonetary Transactions
- Inappropriate Accounting for Roundtrip Transactions
- Improper Accounting for Foreign Payments in Violation of the Foreign Corrupt Practices Act (FCPA)
- Improper Use of Non-GAAP Financial Measures
- Improper Use of Off-Balance-Sheet Arrangements
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Appendix A. Strategic Reasoning and Detecting Liability, Asset, and Inadequate Disclosure Frauds
- Part 5. Other Types of Fraud
- Chapter 14. Fraud against Organizations
- Fraud Statistics
- Asset Misappropriations
- Theft of Cash through Larceny
- Theft of Cash through Skimming
- Cash Theft through Fraudulent Disbursements
- Theft of Inventory and Other Assets
- Corruption
- Bribery
- Conflicts of Interest
- Economic Extortion and Illegal Gratuities
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Chapter 15. Consumer Fraud
- Consumer Fraud and Its Seriousness
- Identity Theft
- How Identity Theft Occurs
- How Fraudsters Convert Personal Information to Financial Gain
- Stealing a Victim’s Identity
- Minimizing the Risk
- Prosecution of Identity Theft
- Once Identity Theft Has Occurred
- Identity Theft—Concluding Comments
- Other Types of Consumer and Investment Scams
- Foreign Advance-Fee Scams
- Work-at-Home Schemes
- Bogus Mystery Shopping Scams
- Telemarketing Fraud
- Investment Scams
- Mortgage Fraud and the Subprime Mortgage Crisis
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Chapter 16. Bankruptcy, Divorce, and Tax Fraud
- Overview of Tax, Divorce, and Bankruptcy Frauds
- Fraud Examiners’ Roles in Bankruptcy and Divorce Cases
- Tax Fraud
- Fraud and the Criminal Investigation Division
- Divorce Fraud
- Participants in Divorce Cases
- Bankruptcy Fraud
- The Bankruptcy Code
- Civil and Criminal Bankruptcy Fraud Statutes
- Civil Bankruptcy Statutes
- Participants in the Bankruptcy Process
- Fraud Investigator’s Relationship to Participants in Bankruptcy Proceedings
- Bankruptcy and Divorce Fraud Schemes—The Planned Bankruptcy (Bust-Out)
- Fraudulent Concealment of Assets or Income in Bankruptcies or Divorces
- The Debtor’s or Divorced Person’s Estate
- Bankruptcy Statutes Concerning Concealment of Assets
- Means of Concealing Assets or Income
- Indicators of Concealment
- Fraudulent Transfers
- Civil Liability for False Accusations
- Money Laundering
- The Money Laundering Process
- Efforts to Combat Money Laundering
- Detecting Money Laundering Schemes
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Internet Assignments
- Appendix A. Affidavit of Proposed Investigator
- Appendix B. Application for Retention of Investigator
- Chapter 17. Cyber Fraud
- Cyber Fraud Risks
- Cyber Fraud Risks Inside Organizations
- Cyber Fraud Risks Outside Organizations
- Preventing Cyber Fraud
- The Control Environment
- Risk Assessment
- Detecting Cyber Fraud
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Part 6. Legal Follow-Up on Fraud
- Chapter 18. Legal Follow-Up
- The Court System
- State Courts
- Federal Courts
- Civil and Criminal Fraud Trials
- Overview of the Civil Litigation Process
- Investigation and Pleadings
- Discovery
- Settlement Negotiations
- Trial and Appeal
- Overview of the Criminal Litigation Process
- Filing Criminal Charges
- Arresting and Charging the Defendant
- Preliminary Hearings
- Grand Jury
- Arraignment
- Discovery
- Pretrial Motions
- Trial and Appeal
- Expert Witnessing
- Review of the Learning Objectives
- Key Terms
- Questions
- Short Cases
- Case Studies
- Internet Assignments
- Debates
- Knapp Cases
- Madoff Securities
- First Keystone Bank
- The Trolley Dodgers
- Zane Corbin, Accounting Major
- Goodner Brothers, Inc.
- The Leslie Fay Companies
- Just for FEET, Inc.
- Le-Nature’s Inc.
- LocatePlus Holdings Corporation
- Avon Products, Inc.
- Overstock.com, Inc.
- Take-Two Interactive Software, Inc.
- CBI Holding Company, Inc.
- Howard Street Jewelers, Inc.
- Lehman Brothers Holdings, Inc.
- Saks Fifth Avenue
- Internet Infamy
- Enron Corporation
- Appendix. Financial Statement Fraud Standards
- Bibliography