Nodule e Deterrence of Financial Statement Fraud C. Plure to record employ payroll med by paid for periodend D. Failure to cord war m When the falsuggest that disclosure in se speriate accounting 8. Related to financiareportin e ren when repred, which of the following our careful examination by antifraud profession A t ted liability disclosures Related party transactions A g changes D. Management fraud 9. Which improper asset valuation may inate the current ratio? A. Valuing inventory at current retail prices B. Accounting for declines in fair market value of inventory C. Failing to record valuation impairment to property, plant and equipment D. Capitalizing expenses as property, plant, and equipment 10. Which of the following is not likely to deter financial Matement fra A. Reducing the amount of inventory on hand 3. Establishing Board of Directors and Audit Comite oversight in line with antirad best practices C. Segregation of duties for acquisition, payment recordation, ewardshi r eporting of acts D. Establishing a whistleblower hotline and protections for whistleblowers FRAUD CASEBOOK Phar. Mor Read the following articles or other related articles regarding the Phar. Mor case and the answer the questions below: Sources: . Gilpin, Kenneth N, "Coopers & Lybrand Sus PharMor Executives." The New York Times, August 21, 1992 Bloomberg Business News, "Accountants Sue Phar-Mor." The New York Times, September 12, 1992 Murray, Matt, "Phar-Mer, Inc. Reaches a Settlement of Chaim Against Coopers Lybrand," The Wall Street Journal, October 4, 1995 Associate Press, "PharMor Founder Gets Long Sentence." The New York Times, December 2, 1995 Markowit, Arthur. "There's Phar-Mor to "Drug' Chain than Meets the Eye Discount Store News, September 2. 1991 Freudenheim, Mill, "Phar. Mor and Its Ex Auditor Clash on Fraud Case Drug Store News, August 6, 1992 Prederick, James. "Scandal Rocks Phar-Mor." Drug Store News August 17, 1992 Short Answer Questions June of 1990, how large was the capital infusion to facilitate Phar-Mor growth? 2 Who washar Mor's flamboyant Chief Executive Officer? Who was Phu Me Chief Financial Officer On what date did har Mor announce that David Shapiro would www.me the duties of President and Mickey Mous Vice-Chairman? 5. How long was Mickey Mous's prison sentence? 6 Is Mickey Mous now out of jail? Discussion Questions Consider your role as a junior Account within a company als im How