ACCT562 2022 April Week 7 Quiz Latest

ACCT562 Auditing - An Operational and Internal Perspective Including Fraud Examination

Week 7 Quiz  

Question 1(TCO F) A company may need to undertake an internal investigation into alleged employee fraud for which of the following reasons?

  To mitigate the company‘s vicarious liability for the wrongful conduct

  To determine the source and amount of loss

  To guard against wrongful termination accusations

  All of the above

Question 2(TCO F) In most cases, which of the following parties should be primarily responsible for directing a fraud examination?

  The external auditors

  The head of the security department

  The company’s legal counsel

  The human resources manager

Question 3(TCO F) Of the following, which is the preferred method of organizing documentary evidence?

  Chronological order

  Alphabetical order

  By witness

  Order received

Question 4 (TCO F) _____ involves obtaining information through the use of falsehoods or deception.

  Pretexting

  Subject manipulation

  Forensic investigation

  Surveillance

Question 5(TCO F) A well-written, accurate, and understandable investigation report will:

  Convey all pertinent evidence

  Add credibility to the investigation

  Accomplish the objectives of the case

  All of the above

 

Question 6(TCO F) The axiom that states employees who believe that they will be caught engaging in occupational fraud and abuses are less likely to commit it is called:

  Cognitive choice

  Preventive selection

  Perception of detection

  None of the above

Question 7(TCO F) Which of the following choices is not an action that will increase the perception of detection within an organization?

  Increasing the use of analytical reviews

  Developing employee anti-fraud education programs

  Establishing a reporting program

  Random e-mails that fraud is being investigated

Question 8(TCO F) As it relates to Corporate Sentencing Guidelines, corporations are required to perform certain minimum steps for due diligence. Which of the following is one of the required steps?

  Consistently enforce standards through appropriate discipline.

  Have policies defining standards and procedures to be followed by the organization’s agents and employees.

  Use due care not to delegate significant authority to people who are known to have a propensity to engage in illegal activities.

  All of the above are part of due diligence

 

Question 9(TCO F) The school of ethical thought that advocates situational ethics, i.e., each behavior should be evaluated on its own merits, is the:

  Imputed ethical principle

  Circumstantial ethical principle

  Utilitarian ethical principle

  Imperative ethical principle