The AICPA provides a free Excel spreadsheet pro-gram that can be used to test data for consistency with Benford’s Law. A link to this spreadsheet is available at Download the spreadsheet and study its structure as well as the manner in which it presents the results of the first- digit and second- digit tests.
1. Once you understand the spreadsheet, perform the following:
a. Obtain the Excel data file for 1978 taxable income in the Chapter 8 materials via a link at, which will take you to a web site hosted by Dr. Mark Nigrini.
b. Copy and paste the first 6,000 observations into the data entry tab (Column A) of the Fraud Buster spreadsheet. Remember to clear all existing data prior to performing this step. c. Run Fraud Buster.
2. How do the results of the first- digit and second-digit tests compare to Benford’s predicted distribution? Are there any digits you might investigate further?

  • CreatedMarch 04, 2015
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