Question

QUESTION 18

1. A CPA wishes to mention the names of her most prominent clients on her website. The mere existence of a professional relationship between a CPA and a small business client

   	I.	Never may be disclosed due to the duty of confidentiality
   	II.	Generally may be disclosed by a CPA as long as the substance of the communications between them is not disclosed
   	III.	Always may be disclosed, but it is advisable to first request the client’s permission to avoid jeopardizing the client’s goodwill
   	IV.	Never may be disclosed unless the client gives it specific consent

3 points   

QUESTION 19

1. The following most closely represents the fraud triangle:

   	I.	Opportunity, rationalization, pressure
   	II.	Pressure, rationalization, lack of pressures
   	III.	Opportunity, motivation, pressure
   	IV.	Pressure, motivation, process

3 points   

QUESTION 20

1. The class video involving Walter Pavlo, what was the scheme that was used to defraud the organization?

   	I.	Collections being received were applied to a Fraudsters personal account
   	II.	Collection accounts were deleted
   	III.	Collections lapping scheme that worked by applying payments from a good customer to the accounts of those who had entered into the illegal arrangement with Fraudster.
   	IV.	Fraudster changed financial reports to reduce collection reported to SEC.

3 points   

QUESTION 21

1. Which of the following is not a red flag of a fraud perpetrator:

   	I.	Living beyond their means
   	II.	Excessive organizational pressure
   	III.	Conducting excessive meetings with other departments
   	IV.	Experiencing financial difficulties

3 points   

QUESTION 22

1. Complete the following statement below: Fraud is any _____ or _____ designed to deceive others, resulting in the victim suffering a loss and/or the perpetrator achieving a gain.  

   	I.	Omission, intentional error
   	II.	Intentional act, omission
   	III.	Unintentional act, omission
   	IV.	Act regardless of intention, omission

Answer 1

QUESTION 18

Answer- I. Never may be disclosed unless the client gives it specific consent.    

QUESTION 19

Answer- I. Opportunity, rationalization, pressure

QUESTION 20

Answer- III. Collections lapping scheme that worked by applying payments from a good customer to the accounts of those who had entered into the illegal arrangement with Fraudster.

QUESTION 21

Answer- IV. Experiencing financial difficulties

QUESTION 22

Answer- II. Intentional act, omission

Fraud is any INTENTIONAL ACT or OMISSION designed to deceive others, resulting in the victim suffering a loss or /and the perpetrator achieving gain.