Scenario
You are applying for a staff position in the fraud division of a regional accounting firm. The hiring manager has asked you to send them a professional email addressing the difference in motivations for management and employee fraud. The hiring manager has also asked you to include a practice evaluation to assess your knowledge of fraud schemes and has provided you with different scenarios that you might analyze from the viewpoint of a fraud examiner.
The skills practiced in this activity will help to support you in your project.
Directions
Using the Fraud Scheme Scenarios document in the Supporting Materials section, write a professional email addressed to the hiring manager of a regional accounting firm.
Specifically, you must address the following rubric criteria:
- Compare the motivation for management and employee fraud.
- Identify the major category of the fraud scheme in each scenario.
- Identify the specific type of fraud in each scenario.
- Describe whether management or employee fraud is occurring in each scenario.
- Explain the characteristics of each identified fraud scheme.
What to Submit
Submit your activity as a 1- to 2-page Microsoft Word document with double spacing, 12-point Times New Roman font, and one-inch margins. Sources should be cited according to APA style.
Supporting Materials
The following resource supports your work on this assignment:
Resource: Module Two Activity Fraud Scheme Scenarios This document will provide the scenarios for this activity.
Scenario One
When customers return inventory, Rochelle rings up an amount that is more than the value of the item that is being returned. Rochelle then keeps the extra cash after giving the customer the amount due.
Scenario Two
A company recognizes revenue from long-term software contracts before the products are delivered or services are rendered, inflating current period earnings.
Scenario Three
An employee is responsible for taking orders and collecting payment at a drive-through window at a fast-food restaurant. The employee intentionally fails to record all the cash transactions or records lower amounts in the cash register. The unaccounted for cash is then taken by the employee.
Scenario Four
Roman has noticed that the contracts for custodial work for the court buildings in the state system have been going to the same custodial company, Three Rivers Cleaning. Each time, Three Rivers Cleaning is narrowly the lowest bidder on each of the bids. Richard, who also works for the state system, handles the bid process. Roman decided to ask him if he knew anything about what was going on. He should have some ideas because his sister-in-law owns Three Rivers Cleaning.