(True and false) 1. When hiring, it is usually difficult to know which employees are capable of...

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(True and false)
1. When hiring, it is usually difficult to know which employees are capable of committing fraud, especially without performing background checks.

2. The three elements of the fraud triangle are a perceived pressure, a perceived opportunity, and rationalization.

3. Management’s example or modeling is of little importance to the control environment.

4. Good controls will often increase opportunities for individuals to commit fraud within an organization.

5. Effective fraud-fighters usually put most of their time and effort into minimizing the pressures for fraud perpetrators to commit fraud.

6. The greater the perceived opportunity or more intense the pressure, the less rationalization it takes for someone to commit fraud.

7. Fraud can be perpetrated to benefit oneself or to benefit one’s organization.

8. Fraud perpetrators who are prosecuted, incarcerated, or severely punished usually commit fraud again.

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Fraud examination

ISBN: 978-0538470841

4th edition

Authors: Steve Albrecht, Chad Albrecht, Conan Albrecht, Mark zimbelma

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