ACCT 562 Week 4 B The Field Work Phase – Discussion
Non Cash Asset Fraud (graded)
Class, Read the case study on page 211-213 on high tech theft. What key controls were not in place in this case? What industries are susceptible to this type of fraud?
Class, Do you think IT controls are the key to obtaining the strongest controls over inventory with the fewest people?
What are the main functions that should be segregated when we discuss segregation of duties. Discuss in a more generic sense. For example, custody, recording, etc.
What are the impacts of fraud on the balance sheet and income statement?
When does it become “material”?
