Detecting Internal Fraud Has Become Sophisticated

question 109

Multiple Choice

Detecting internal fraud has become sophisticated.Audit trails from key systems and personnel records are stored in data warehouses and subjected to __________ where things like excessive hours worked,unusual transactions,copying of huge amounts of data and other unusual patterns of behavior are identified.

• A)Security audits
• B)Pattern analysis
• C)Behavior recognition scans
• D)Anomaly detection analysis

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Definitions:

Cost Recovery Method

An accounting technique used to recognize revenue only after all costs are recovered.

Gross Profit

The difference between the sales and the cost of goods sold, representing the basic profitability of the products or services sold.

Franchise Agreement

A legal contract in which a franchisor grants the right to operate a business using its brand and system to a franchisee in return for a fee.

Initial Franchise Fee

An upfront cost that a franchisee pays to a franchisor for the rights to use the brand and operate under the franchise agreement.