Question

Middle managers, those who have authority over daily operations, are often viewed as being particularly prone to perpetrating fraudulent activities.

Required
A. What are some examples of internal controls that could reduce the likelihood that middle managers perpetrate fraud?
B. In addition to establishing internal controls, what else can a company do to reduce the likelihood that its managers will perpetrate fraud?
C. How does a company’s commitment to corporate governance influence a manager’s willingness to perpetrate fraud?
D. Would having an explicit code of ethics reduce the likelihood of fraudulent activities?



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  • CreatedMarch 11, 2015
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