The Proactive Method of Fraud Detection Is a Six-Step Process

question 9

Multiple Choice

The proactive method of fraud detection is a six-step process. Which of the following is the correct process sequence?

• A) Identify possible frauds that could exist; catalog possible fraud symptoms; understand the business; use technology to gather data about symptoms; automotive detection procedures; analyze results; and investigate symptoms
• B) Catalog possible fraud symptoms; understand the business; identify possible frauds that could exist; analyze results; use technology to gather data about symptoms; and investigate symptoms
• C) Understand the business; identify possible frauds that could exist; catalog possible fraud symptoms; investigate symptoms; use technology to gather data about symptoms; and analyze results
• D) Understand the business; identify possible frauds that could exist; catalog possible fraud symptoms; use technology to gather data about symptoms; analyze results; and investigate symptoms

Understand the differences in government regulation between selling securities privately and publicly.

Comprehend the fluctuations in interest rates on short-term funds and factors influencing these changes.

Recognize the significance of trade credit in short-term financing.

Identify the most common types of securities sold privately and their characteristics.