ACG 5-Fernando’s Fraud Triangle is a retail establishment

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Fernando’s Fraud Triangle is a retail establishment that has been experiencing lower revenues in the last six months, even though sales are up to 21.1 %.

Fernando’s sells whatever products you want to sell and takes cash, credit cards, and checks.

All three categories-cash/checks/credit cards-have remained consistent with no significant increase-while sales are up.

There are three employees and all have access to the register and can override refunds and any other items that need to be charged back.

You have been called in as the Fraud Examiner to see who has their fingers in the till.

“Mitch” -

• 47 Years old; 14.2 years with the company/full time employee
• Recently divorced/ pays child support for two kids
• Wages are garnished by the courts for payment
• Drives a 2014 Jag-u-Ar
• Just bought a new home
• Makes $82,282 a year
• Loves to dress in style
• Loves the night life

“Crystal” -

• 31 Years old; 10.8 years with the company/full time employee
• Married/mother of two children
• Husband has a full time job
• Makes $62,262 a year
• Drives a 2013 Volvo
• Recently bought a new home
• Loves to dress in style
• Loves the night life

“John”

• 21 years old; 5.3 years with the company/part time employee
• College student/accounting
• Just bought a 2013 Hyundai Santa Fe
• Lives with his parents
• Pays for school
• Makes $28,282 a year, part time
• Single
• Loves to party and dress nice

Applying the fraud triangle, who has been stealing the funds?