Critically explain the key features of the Sarbanes-Oxley Act 2002 which aims at protectinginvestors from the possibility of fraudulent accounting activities.
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Critically explain the key features of the Sarbanes-Oxley Act 2002 which aims at protectinginvestors from the possibility of fraudulent accounting activities.
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Solved in 4 steps
- Which of the following would assist an entity in cat and prevent fraud? a. Accounting reconciliations b. Segregation of duties c. All the options d. Performance reviewsWhat is the connection between criminology and the discovery or prevention of fraud? It's not the same as studying accounting or auditing, is it?Answer the following questions and give an example for each case: In which areas can the embezzlement scheme be identified? What can cause fraud to be committed in the presentation of financial statements?
- How does the study of criminology relate to the detection or deterrence of fraud? How does it differ from the study of accounting or auditing?Which one of the following is not an advantage of internal controls? Select one: a. It safeguards the assets b. It increases the chance of fraud c. It ensures compliance with laws d. It enhances the reliability of accounting recordsExplain the relation between ethics and financial statement fraud by giving examples.
- What recommendations will you give to prevent fraud?Which of the following benefits of an effective accounting information system provides safeguards for a business’s assets and reduces the likelihood of fraud and errors? Flexibility Relevance Control CompatibilityResponsibility for prevention and detection of fraud?
- What is the ethical value of applying the Fraud Triangle to assess the risk of material misstatements in the financial statements?Explain why professional skepticism would be critical in assessing and responding to the risk of fraud.Why do fraud examiners handle information in a different manner than auditors? Why is thisimportant?
