The basic structure necessary for fraud to occur is understood to consist of the following components

	Opportunity, motivation, and ability to rationalize
	Assignment of responsibility, segregation of duties, documentation, physical controls, review and reconciliation, and human resource activities
	Placement, Layering, and Integration
	Control activities, risk assessment, information and communication, monitoring activities, and the conrol environment.

On a monthly bank reconciliation, which of the following would be deducted from the balance per books?

	month end deposits in transit
	interest revenue that had been collected by the bank and credited to the company's account.
	monthly bank service charge
	bank error that overstated the balance on the bank statement
	month end outstanding cheques

An accounts payable clerk also has cheque signing authority. Which control procedure (if any) is violated?

	segregation of duties
	none are violated
	documentation
	assignment of responsibility
	review and reconciliation

The balance in Allowance for Doubtful Accounts would have a debit balance when

	write offs during the year have exceeded previous provisions.
	the Allowance for Doubtful Accounts cannot have a debit balance because it is a contra account to Accounts Receivable (which are a debit balance).
	write offs during the year have been less than previous provisions.
	the Percentage of Receivables method of estimating for bad debts is used.
	an uncollectible account is later recovered.