Barry Greenstem, a partner at Homegrown Gardens, LLP has hired you, a fraud examiner, to do a preliminary investigation of his concerns that Betty Stevenson is accepting kickbacks. The red flags he identified are: 1) Homegrown pays higher prices to the wholesaler Monromio Nursery than other retailers do and 2) Betty appears to be living beyond her means. Barry wants you to do a preliminary investigation and to write a memo to him and the other partners. You determine that you need to do a net worth analysis as a first step in your preliminary investigation (the data you need is on page 265). Your memo should provide the partners with a summary of the situation, your initial analysis/findings, the possible options the partners have if they want you to continue your investigation, and what next steps you recommend. Remember to follow the Memo guidelines.

and private records reveals the following information: CASE STUDY 4 aments rtgage $100 Home $400 3,500 YEAR BEFORE LAST LAST YEAR THIS YEAR Assets: g the and Personal $70,000 $70,000 $200,000 residence 15,000 45,000 45,000 -pend neous just lick's and both Co.) Automobiles Houseboat 30,000 30,000 ATVS 12,000 12,000 Liabilities: 35,000 30,500 100,000 Mortgage balance Auto loan 2,500 Loan on 15,000 11,000 houseboat sis of Ons.) 25,000 25,500 26,000 35,000 36,000 Income: Betty's salary Mike's salary Expenses: Mortgage 37,000 4,500 4,500 13,000 1,800 1,800 and Dout of sells used the ells. um e it payments Auto payments Houseboat 2,400 2,400 payments Other living 15,000 17,000 15,000 expenses the em, set ta Question nas ice 1. Using this information, calculate the amount of income from unknown sources, if any, using the net and private records reveals the following information: CASE STUDY 4 aments rtgage $100 Home $400 3,500 YEAR BEFORE LAST LAST YEAR THIS YEAR Assets: g the and Personal $70,000 $70,000 $200,000 residence 15,000 45,000 45,000 -pend neous just lick's and both Co.) Automobiles Houseboat 30,000 30,000 ATVS 12,000 12,000 Liabilities: 35,000 30,500 100,000 Mortgage balance Auto loan 2,500 Loan on 15,000 11,000 houseboat sis of Ons.) 25,000 25,500 26,000 35,000 36,000 Income: Betty's salary Mike's salary Expenses: Mortgage 37,000 4,500 4,500 13,000 1,800 1,800 and Dout of sells used the ells. um e it payments Auto payments Houseboat 2,400 2,400 payments Other living 15,000 17,000 15,000 expenses the em, set ta Question nas ice 1. Using this information, calculate the amount of income from unknown sources, if any, using the net