6. Gray is an internal auditor and the lead on the companys fraud risk assessment. In the past, he and Blue, an accounts receivable clerk, have had several heated disagreements over accounting procedures. During the fraud risk assessment, Gray should: A. Include his disagreements with Blue as a factor when assessing the risk of fraud in the accounts receivable department. B. Have someone else perform the fraud risk assessment work related to the accounts receivable departments activities. C. Confront Blue about the disagreements and discuss how they increase the departments risk of fraud. D. Automatically designate the accounts receivable department as a high-risk area.

7. Which of the following might be considered a good characteristic for a fraud risk assessment team? A. The team should always consist of four individuals. B. The team should consist of individuals with the same knowledge, skills, and perspectives. C. The team members should have experience in gathering and eliciting information. D. The team members should only include internal resources.

8. ___________ enable the fraud risk assessor to observe the interactions of employees as they discuss a question or issue. A. Interviews B. Surveys C. Focus groups D. Anonymous feedback mechanisms

9. Which of the following is an example of a common external fraud scheme? A. An employee steals a check from their employer and cashes it at a local bank. B. A competitor steals an organizations trade secrets. C. An employee makes fraudulent journal entries to increase revenue. D. An employee submits fraudulent expenses along with legitimate expenses.

10. The aiding and abetting of fraud by outside parties, such as customers and vendors, is considered a fraud risk pertaining to which category of fraud? A. Fraudulent financial reporting B. Asset misappropriation C. Corruption D. Improper disclosure