Question

According to the 2012 Report to the Nation on Occupational Fraud and Abuse, frauds are more likely to be detected by:

a. Audits
b. internal controls
c. Managers
d. Tips

Answer 1

Correct choice would be (D) Tips or whistleblowing—reports from employees, customers, vendors, or other individuals aware of fraudulent activities—are historically one of the most common and effective methods of detecting fraud within organizations. Whistleblowers often provide crucial information that leads to the discovery of fraudulent activities, contributing significantly to fraud detection efforts.

Answer 2

According to the 2012 Report to the Nation on Occupational Fraud and Abuse, tips are more likely to be the source of fraud detection.

Step-by-step explanation:

According to the 2012 Report to the Nation on Occupational Fraud and Abuse, tips are more likely to be the source of fraud detection.

Audits, internal controls, and managers are important measures in preventing fraud, but they are less likely to be the initial source of detection. Tips, on the other hand, can come from various sources such as employees, customers, or vendors and can provide valuable information that leads to the discovery of fraud.