Final answer:
The prerequisite for a fraud investigation is predication.
Step-by-step explanation:
The correct answer is A. Predication is a prerequisite for a fraud investigation. Predication refers to having a reasonable basis or suspicion to believe that fraud has occurred, is occurring, or will occur. It is like the initial evidence or information that prompts further investigation into potential fraudulent activities.
For example, if there are irregularities in financial records or suspicious transactions, it may provide predication for a fraud investigation.
On the other hand, B, C, and D are not prerequisites for a fraud investigation. A specific allegation of fraud against another party (B) may be one of the outcomes or findings of a fraud investigation, but it is not a prerequisite. Consistent bottom-line improvement (C) and rationalization (D) do not directly relate to predication or the investigative process.