fraud

Question 1

theft of cash after the cash has been recorded on the books, such as directly from a cash register or petty cash.

Answer 1

Larceny of Cash

Question 2

“off-book” technique to remove cash before a company records the receipts.

Answer 2

Skimming

Question 3

Removing checks before they are cashed so any personal checks by the cashier found in the register flag cover-up of a theft.

Answer 3

Swapping checks for cash

Question 4

counterfeiting of checks, altered easily

Answer 4

Check tampering

Question 5

building up balances in two or more bank accounts based upon floating checks drawn against the other accounts.

Answer 5

Kiting

Question 6

employees divert refunds to their own credit card accounts

Answer 6

Credit card refund and cancellation schemes

Question 7

recording of payment on a customer’s account sometime after the receipt of the payment.

Answer 7

Lapping

Question 8

Covering a phony sale with an equally phony receivable, which may be eventually written off.

Answer 8

Fictitious Receivables

Question 9

perpetrator puts up accounts receivable as collateral for a loan.

Answer 9

Borrowing against accounts receivable

Question 10

employees may steal inventory and supplies for personal use or sell the stolen items to outsiders at flea markets/garage sales

Answer 10

Stealing inventory

Question 11

Payment is paid in full to an outside accomplice

Answer 11

Short shipments with full prices

Question 12

providerattempt to charge more than once for the same service, for example bybillingusing an individual code and again as part of a bundled set of tests.

Answer 12

Double billing

Question 13

a publicly heldcompanywith no or nominal assets other than money used to launder money, evade taxes

Answer 13

Shell companies

Question 14

unrecorded sales, understates sales, creating false sales, padding prices to increase commission

Answer 14

Doctored Sales Figures

Question 15

invent fictional accounts payable such as multiple payments to payee, inflated invoices, shell companies, ghosts on the payroll

Answer 15

Sham Payments

Question 16

land flipping, pump and dumb (messages can hype thinly traded stock so the stock can move up rapidly), and cybersmearing (bashing a stock causing the stock to decline)

Answer 16

Price Manipulations

Question 17

take money from one source, hide that source, and make funds available in another setting without incurring legal penalties

Answer 17

Money laundering

Question 18

vendor is given an unfair advantage in an open competition for a certain contract.

Answer 18

Bid rigging