financial statement fraud

Accounting
Tutor: None Selected Time limit: 1 Day

What are some ways in which a company can be exposed to financial statement fraud? Pick just one or two, and illustrate a means by which this fraud could be detected

Aug 9th, 2015

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  Ways to expose a fraudlent company

1.Media

Exposing a fraudulent company through the media will not only warn others about doing business with that company, but it can also help you get justice for your own situation. The media is pervasive throughout our society, and there are many different ways of exposing a fraud through the media

2.Letter to the auditor  General

3. Let employees know the truth about the happenings in the company

Ways to detect fraud

All employees should be made aware of the plan and how it will be implemented. Communicating this to employees is a prevention method in itself

 False corporate tax returns and lack of  individual income tax returns Records. 

Undisclosure of the companys half yearly and yearly returns and expenses.

Poor book keeping , intention.

conclussion


Having the proper plans in place can significantly reduce fraudulent activities from occurring or cut losses if a fraud already occurred. Making the company policy known to employees is one of the best ways to deter fraudulent behavior. is to temper with recods.

Please let me know if you need any clarification. I'm always happy to answer your questions.
Aug 9th, 2015

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Aug 9th, 2015
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Aug 9th, 2015
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