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FOR2601 Assignment 1 Semester 2 2024 (234942) - DUE 10 August 2024 R46,48   Add to cart

Exam (elaborations)

FOR2601 Assignment 1 Semester 2 2024 (234942) - DUE 10 August 2024

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FOR2601 Assignment 1 Semester 2 2024 (234942) - DUE 10 August 2024 QUESTIONS WITH COMPLETE ANSWERS

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  • July 26, 2024
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reinah44
FOR2601 Assignment 1
Semester 2 2024
(234942) - DUE 10
August 2024




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, FOR2601 Assignment 1 Semester 2 2024 (234942) - DUE 10 August 2024




QUESTION 1

1.1 Discuss in your own words the detection techniques that can be used by auditors to

detect fraud in an organisation. (10)

1.2 Discuss the basic considerations or tactical steps you have to consider when

starting a new investigation. (10) [20]

1.1 Detection Techniques Used by Auditors to Detect Fraud in an Organisation

Auditors employ a variety of techniques to detect fraud within an organisation. These

methods can be broadly categorized into the following:

1. Analytical Procedures:

o Trend Analysis: Comparing financial and operational data over multiple

periods to identify anomalies or unexpected trends.

o Ratio Analysis: Evaluating financial ratios such as profit margins, return

on assets, and liquidity ratios to detect inconsistencies that may indicate

fraudulent activity.

o Benchmarking: Comparing the organisation’s financial data against

industry standards or competitors to identify discrepancies.

2. Data Mining and Analytics:

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