P-Part1

Due Friday 09-22

3 page paper. APA Style – Min 3 scholarly sources

Assignment 2

· Debbie Roberts, Cardinal’s chief loss prevention specialist, engages you, the aspiring

fraud examiner, to identify the fraudulent vendor. You accept the engagement. You first

must educate yourself about: (a) how vendor schemes3 work, (b) how they can be

detected [i.e. identify common red flags], (c) how they can be investigated, and (d) how they can be effectively prevented. The Primer on Fraud contained in the Appendix

provides background information you need to understand before proceeding to

Requirement 3. Once you have educated yourself on these topics, write a 2-3 page memo

explaining the four areas above. Submit the memo to your professor for grading and

continue to Requirement 3. Caveat: A thorough understanding of the material contained

in the Primer on Fraud is necessary to successfully complete the remainder of this case simulation.

· Create a short Fraud Examiner's checklist similar to Appendix B in your Fraud Examiners manual with 10 items you think you will need to research or gather during this investigation (be sure you provide detailed items, ex. if you would review internal controls you need to list what specific internal controls you would review that apply to this case such as who approves invoices, how is  data entered into the system, etc)