"Fraud Symptoms and Correction Strategies" Respond to the following:
Imagine you are an accountant working on closing the books for the year end. Given that many accounting items rely on estimates, construct a scenario in which you would question an estimate as being either too high or too low that would misstate earnings. Support your answer with examples.
Imagine that you are on the board of directors for XYZ Company. You have received an anonymous tip that the financial statements were prepared in a fraudulent manner. Your initial reaction is that the threat level is high. Develop a plan of action that you would take to react to this allegation. Support your plan with examples and provide a rationale.