Why Should Managers Design and Implement Effective Fraud Response and Litigation-Readiness

question 134

Essay

Why should managers design and implement effective fraud response and litigation-readiness strategies? What is one consequence of not implementing such a strategy? Why should managers not try to hide or ignore fraud?

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Definitions:

Shift

A change in position, direction, or tendency, often referring to movements in supply or demand curves in economics.

Tax

A compulsory financial charge or levy imposed by a government on individuals or entities to fund public expenditures.

Excise Tax

A tax imposed on specific goods, services, or activities, often with the aim of reducing consumption of those items or generating revenue.

Tax Revenue

The income that is gained by governments through taxation, used to fund public services and government operations.