Capitalizing items that are not fixed assets may result in inflated net income and assets, financial statement misstatements, fines and

penalties, or reputational damage. Choose the best control activity to address this risk.

Taggingall fixed assets

Expand the list of bidders to make it more difficult for bidders to collude.

Require bidders to sign and submit non$-$collusion affidavits stating the bidder has not colluded with employees or other

bidders.

Have a code of conduct that employees must agree to and sign, as well as training for employees that includes firing and

legal actions for engaging in fraud.