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cricket 9:20 PM 22% be specific to this case. Risk Factors identified During Parti Classification end Facto 3. Using a scale of one low risk)

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cricket 9:20 PM 22% be specific to this case. Risk Factors identified During Parti Classification end Facto 3. Using a scale of one low risk) to ten (high risk) assign an overall ranking to the cumulative risk factors identified in Question 1 and 2. Last year's as- sessment was "four" a moderate risk of fraudulent financial reporting, Does the source of a risk factor affect its weight in the overall assessment? You should justify your assessment by integrating both the qualitative evidence from Question 2, and quantitative evidence from Question 1 to develop potential risk scenarios 4. How do you respond to the level risk? Specifically, support the need for specific investigations on the risk scenarios developed in Question 3. Be specific Given the above risk factors, are there accounting, analytical, or behavioral symptoms that should be followed up on? Are there "culture of honesty issues that raise concerns. Are there potential prevention issues that should be considered? QUESTIONS 6. Identify and classify any additional risk factors that came to light through the information in Part II of the case. Do not repeat factors already identi fied in Part I. Document the new risk factors using the same Triangle of Fraud format found in Part 1. Question 2 Risk assessment is a cumulative process. Does the information in Question 6 change your risk assessment in Question 32 8. 9. Are risks due to control issues different from risk due to non-control issues? Discuss your specific response, if any, to the newly identified risk factors Use Question as a guideline. 10. List three individuals you would like to interview to obtain more informa tion. Discuss all parameters of cach interview...purpose of interview, types of questions, and strategies when facing a difficult interviewer 11. Do you have enough evidence to determine if fraud occurred il cricket 9:22 PM 20%D QUESTIONS 1. Review the financial information in the attached Tables 1 and 2. Explain why you may or may not be concerned? Perform a complement of procedures to gather analytical evidence of risk. These procedures should include trends for all assets, liabilities, sales, cost of goods sold, gross margin, and total operating expenses, in addition to select ratio analysis. Though you have a comparative income statement and balance sheet, common size statements and comparisons to industry averages may be useful. Does the quantitative evidence indicate accounts or account groups that have expectantly changed over the past two or three years? Do these initial results justify specific further investigation? Given the above discussion, identify factors in this case, if any, that point to the risk of fraudulent financial reporting. Using the format presented below, classify any identified risk based on the Triangle of Fraud categories of Incentives/Pressures, Opportunities, and Attitudes/Rationalizations. See Appendix A for examples of risk factors. Your identified risk factors must be specific to this case. Risk Factors Identified During Part! Risk Classification Identified Risk Factor 3. Using a scale of one (low risk) to ten (high risk) assign an overall ranking to the cumulative risk factors identified in Question 1 and 2. Last year's as sessment was "four," a moderate risk of fraudulent financial reporting, Docs the source of a risk factor affect its weight in the overall assessment? You should justify your assessment by integrating both the qualitative evidence from Question 2, and quantitative evidence from Question 1 to develop potential risk scenarios 4. How do you respond to the level risk? Specifically, support the need for specific investigations on the risk scenarios developed in Question 3. Be specific! 5. Given the above risk factors, are there accounting, analytical, or behavioral symptoms that should be followed up on? Are there "culture of honesty issues that raise concerns Are there potential "prevention issues that should be considered? QUESTIONS Identify and classify any additional risk factors that came to light through the information in Part II of the case. Do not repeat factors already identi- fied in Part I. Document the new risk factors using the same Triangle of Fraud format found in Part I. Question 2 7. Risk assessment is a cumulative process. Does the information in Question 6 change your risk assessment in Question 32 8. Are risks due to control issues different from risk due to non-control issues? Discuss F ecific onse if any otherly identified risk for cricket 9:20 PM 22% be specific to this case. Risk Factors identified During Parti Classification end Facto 3. Using a scale of one low risk) to ten (high risk) assign an overall ranking to the cumulative risk factors identified in Question 1 and 2. Last year's as- sessment was "four" a moderate risk of fraudulent financial reporting, Does the source of a risk factor affect its weight in the overall assessment? You should justify your assessment by integrating both the qualitative evidence from Question 2, and quantitative evidence from Question 1 to develop potential risk scenarios 4. How do you respond to the level risk? Specifically, support the need for specific investigations on the risk scenarios developed in Question 3. Be specific Given the above risk factors, are there accounting, analytical, or behavioral symptoms that should be followed up on? Are there "culture of honesty issues that raise concerns. Are there potential prevention issues that should be considered? QUESTIONS 6. Identify and classify any additional risk factors that came to light through the information in Part II of the case. Do not repeat factors already identi fied in Part I. Document the new risk factors using the same Triangle of Fraud format found in Part 1. Question 2 Risk assessment is a cumulative process. Does the information in Question 6 change your risk assessment in Question 32 8. 9. Are risks due to control issues different from risk due to non-control issues? Discuss your specific response, if any, to the newly identified risk factors Use Question as a guideline. 10. List three individuals you would like to interview to obtain more informa tion. Discuss all parameters of cach interview...purpose of interview, types of questions, and strategies when facing a difficult interviewer 11. Do you have enough evidence to determine if fraud occurred il cricket 9:22 PM 20%D QUESTIONS 1. Review the financial information in the attached Tables 1 and 2. Explain why you may or may not be concerned? Perform a complement of procedures to gather analytical evidence of risk. These procedures should include trends for all assets, liabilities, sales, cost of goods sold, gross margin, and total operating expenses, in addition to select ratio analysis. Though you have a comparative income statement and balance sheet, common size statements and comparisons to industry averages may be useful. Does the quantitative evidence indicate accounts or account groups that have expectantly changed over the past two or three years? Do these initial results justify specific further investigation? Given the above discussion, identify factors in this case, if any, that point to the risk of fraudulent financial reporting. Using the format presented below, classify any identified risk based on the Triangle of Fraud categories of Incentives/Pressures, Opportunities, and Attitudes/Rationalizations. See Appendix A for examples of risk factors. Your identified risk factors must be specific to this case. Risk Factors Identified During Part! Risk Classification Identified Risk Factor 3. Using a scale of one (low risk) to ten (high risk) assign an overall ranking to the cumulative risk factors identified in Question 1 and 2. Last year's as sessment was "four," a moderate risk of fraudulent financial reporting, Docs the source of a risk factor affect its weight in the overall assessment? You should justify your assessment by integrating both the qualitative evidence from Question 2, and quantitative evidence from Question 1 to develop potential risk scenarios 4. How do you respond to the level risk? Specifically, support the need for specific investigations on the risk scenarios developed in Question 3. Be specific! 5. Given the above risk factors, are there accounting, analytical, or behavioral symptoms that should be followed up on? Are there "culture of honesty issues that raise concerns Are there potential "prevention issues that should be considered? QUESTIONS Identify and classify any additional risk factors that came to light through the information in Part II of the case. Do not repeat factors already identi- fied in Part I. Document the new risk factors using the same Triangle of Fraud format found in Part I. Question 2 7. Risk assessment is a cumulative process. Does the information in Question 6 change your risk assessment in Question 32 8. Are risks due to control issues different from risk due to non-control issues? Discuss F ecific onse if any otherly identified risk for

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