Question

Visit the Association of Certified Fraud Examiners website and open the “2016 Report to the Nation” (s3-us-west-2.amazonaws.com/acfepublic/2016-report-to-the-nations.pdf). Read the two-page Executive Summary and fill in the following blanks.

5. Financial statement fraud was on the other end of the spectrum, occurring in less than 10% of cases but causing a median loss of . Corruption cases fell in the middle, with of cases and a median loss of .

Short answer

Answer

Financial statement fraud was on the other end of the spectrum, occurring in less than10% of cases but causing a median loss of $975,000. Corruption cases fell in the middle, with 35.4% of cases and a median loss of $200,000.

Step-by-step solution

Step-by-Step SolutionStep 1: Introduction to topic

Financial statement fraud: financial statement fraud refers to the fraud in which an entity misappropriates the financial statements through oversight of amounts and through an intentional misstatement to trick the users of financial statement.

 Financial statement fraud was on the other end of the spectrum-

Financial statement fraud has the best speed (median loss per month) at $39,800 per month.Fraudsters conceal their crimes by creating or adjusting physical or digital documents or files.