Which of the Following Is a Difference Between Fraud Examination

question 46

Multiple Choice

Which of the following is a difference between fraud examination and fraud detection?

• A) Fraud examination is done before a fraud has been committed, whereas fraud detection is done after a fraud has been committed.
• B) Fraud examination is the investigation specific allegations or suspicions of fraud, whereas fraud detection is the identification of an error or irregularity after it has occurred.
• C) Fraud examination focuses on the time and duration of the fraud, whereas fraud detection focuses on the need or motive of the fraud.
• D) Fraud examination adapts proactive strategies, whereas fraud detection adapts reactive strategies.

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Definitions:

Proximate Cause

Proximate cause is a legal concept referring to the primary cause of damage or injury, setting the limit of legal liability.

Foreseeability

A concept in tort law where certain harms should have been reasonably predicted or anticipated as a result of one's actions or omissions.

But For Causation

A legal principle that determines causation by asking whether an injury would have occurred 'but for' the defendant's actions.

Actual Cause

The determination that the defendant’s breach of duty resulted directly in the plaintiff’s injury.