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Suppose you have an old college friend, a business owner, who suspects fraud in their company. Your friend owns several coffee shops, and he believes

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Suppose you have an old college friend, a business owner, who suspects fraud in their company. Your friend owns several coffee shops, and he believes that financial statement fraud may be occurring. He pays each coffee shop manager a bonus if a certain level of profits is earned and is worried that some managers are overstating profits to eam a higher bonus. Your friend wants you to help him determine if his suspicions are valid. He is going to provide the financial statements for each coffee shop (income statements, balance sheets and cash flow statements) for each of the last five years. What kind of financial statement analyses could you perform to help your friend detect possible fraud

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