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30 Cards in this Set
- Front
- Back
Which is not one of the major standards of generally accepted accounting principles 2005
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Accuracy
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THe practice of recording the deposits of transfer between multiple bank accounts before recording the disbursements is called 2006
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Kiting
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T/F: The accounting concept of conservation leads to asymmetrical accounting where the revenues purposefully are overstated and expenses are understated 2007
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False
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to conceal an asset misappropriation in the company book, the fraudter can enter 2011
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a false debit to another asset account
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CFE hired to review assets to see if over valued. Building worth 11.5million, appraised at 14 million. What generally accepted principle governing law/land should be used on ABC book 2014
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the historical cost principle
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T/F: A cfe and expert accounting witness told the jury that the concept of consistency does not change in an accounting principle. 2015
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True
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T/F: The kinds of frauds and misstatements connected with liabilities are generally problems of understatement 2019
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True
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The worth of a business, if it is any good, will always be higher than the value of its hard assets. This is reflected in the accounting concept of 2021
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going concern
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T/F: under 'sox act' every public company is required to have a "financial expert" as a member of the board of directors 2022
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F
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Which statement about the standards of conduct for financial serve providers is correct 2023
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registered investment advisors are required to act in the best interest of their clients
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which is not a type of skimming scheme 2028
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false refunds
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T/F: according to govt auditing services as part of the performance audit, the auditors should make a determination as to whether any questionable act discovered during the engagement constitute fraud 2020
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F
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T/F: when info comes to an auditor he should consider the significance the fraud may have on the audit results if it could have a significant effect he should not extend the sleeps, stop the audit and contact the inspector general 2028
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F
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Ex of an independent check procedure over cash receipts might include 2123
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performing a surprise cash count
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_____ is the disquising the existence, nature, source, ownership, location, and disposition of property derived from criminal activity 2133
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money laundering
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which is the correct accounting model 2141
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assets = liabilities and owner's equity
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in order to conceal the misapproption of an asset, the accounting equation can be balanced by all EXCEPT 2146
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decreasing another asset
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all are true except 2147
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expense accounts are decreased with debits
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which is the correct calculation of the quick ratio 2149
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(cash + marketable services + receivables) / current liabilities
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T/F: the asset turnover ratio is calculated by dividing net sales by the assets balance at the end of the period 2152
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f
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fraud statement analysis technique for computing the % change in individual income statement or balance sheet items for one year to the next 2159
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horizontal analysis
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during the investment?? company leases a piece of equipment but states it is owned. It is justified by the accounting principle of 2170
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substance over form
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according to the YellowBook, objectives of financial audits include the following EXCEPT 2194
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to access program efficiency economy and effectiveness
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according to the govt auditing standards, reporting standard for performance audits, the auditor should report all except 2200
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all illegal acts discovered regardless of whether they are consequential to the audit objectives
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T?T: internal controls are always the strongest deterrent to financial statement fraud 2214
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f
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??? blue used customer A check to cover customer B the B to cover C. This is called 2225
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lapping
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the cash scheme is handbook fall into 2 broad categories __and ___ 2227
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fraudulent disbursements and cash receipts
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according to corporate fraud handbook, which type of scheme is hardest to detect 2230
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skimming
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according to the corporate fraud handbook, schemes which employees physically misappropriate cash that has already appeared on the victims organizations books are known as 2233
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cash larceny schemes
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Blue sold $1000 worth of merchandise. Collected cash and gave company $800. The scheme is 2235
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an understated sales (skimming) scheme
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