ACCT 340 CH 15 EXAM QUESTIONS AND
ACCURATE ANSWERS A+ GRADED
Corruption fraud schemes include:
a. asset misappropriation, bribery, stolen cash, and billing schemes
b. bribery, conflicts of interest, economic extortion, and illegal gratuities
c. asset misappropriation, financial statement fraud, conflicts of interests, and illegal
gratuities
d. economic extortion, illegal gratuities, asset misappropriation, and expense
reimbursement fraud - ANSWER b. bribery, conflicts of interest, economic extortion, and
illegal gratuities
The most difficult asset misappropriation fraud scheme to detect, because it leaves no
starting point or audit trail for auditors to investigate, is
a. skimming
b. non-cash larceny
c. expense reimbursement fraud
d. fraudulent disbursements - ANSWER a. skimming
a major difference between skimming and cash larceny is that:
a. skimming is on the books, while larceny is off the books
b. larceny occurs after both the transaction and the cash have been entered into the
accounting system, while skimming occurs without the transaction being entered into
, the system
c. larceny involves expense reimbursement schemes, while skimming involves recording
fictitious revenues
d. skimming occurs after the cash has been entered into the accounting system, while
larceny occurs before it is entered into the system - ANSWER b. larceny occurs after both
the transaction and the cash have been entered into the accounting system, while
skimming occurs without the transaction being entered into the system
Transactions where the amounts are the same and the transaction dates are the same,
but the types are different (cash vs credit card) - ANSWER double dipping
Transactions where all fields are the same except for the expense submission date -
ANSWER duplicate expenses
transactions with the transaction type "cash" and category that is "out of policy" for cash
payment - ANSWER inappropriate cash
transactions with an expense submission date more than 30 days after the transaction
date - ANSWER late expense submissions
Risk of fraud? Asset misappropriation or financial statement fraud?
- access to blank checks and signature plates is restricted to the cash disbursements
bookkeeper, who personally reconciles the monthly bank statements - ANSWER Fraud,
asset misappropriation
ACCURATE ANSWERS A+ GRADED
Corruption fraud schemes include:
a. asset misappropriation, bribery, stolen cash, and billing schemes
b. bribery, conflicts of interest, economic extortion, and illegal gratuities
c. asset misappropriation, financial statement fraud, conflicts of interests, and illegal
gratuities
d. economic extortion, illegal gratuities, asset misappropriation, and expense
reimbursement fraud - ANSWER b. bribery, conflicts of interest, economic extortion, and
illegal gratuities
The most difficult asset misappropriation fraud scheme to detect, because it leaves no
starting point or audit trail for auditors to investigate, is
a. skimming
b. non-cash larceny
c. expense reimbursement fraud
d. fraudulent disbursements - ANSWER a. skimming
a major difference between skimming and cash larceny is that:
a. skimming is on the books, while larceny is off the books
b. larceny occurs after both the transaction and the cash have been entered into the
accounting system, while skimming occurs without the transaction being entered into
, the system
c. larceny involves expense reimbursement schemes, while skimming involves recording
fictitious revenues
d. skimming occurs after the cash has been entered into the accounting system, while
larceny occurs before it is entered into the system - ANSWER b. larceny occurs after both
the transaction and the cash have been entered into the accounting system, while
skimming occurs without the transaction being entered into the system
Transactions where the amounts are the same and the transaction dates are the same,
but the types are different (cash vs credit card) - ANSWER double dipping
Transactions where all fields are the same except for the expense submission date -
ANSWER duplicate expenses
transactions with the transaction type "cash" and category that is "out of policy" for cash
payment - ANSWER inappropriate cash
transactions with an expense submission date more than 30 days after the transaction
date - ANSWER late expense submissions
Risk of fraud? Asset misappropriation or financial statement fraud?
- access to blank checks and signature plates is restricted to the cash disbursements
bookkeeper, who personally reconciles the monthly bank statements - ANSWER Fraud,
asset misappropriation
