Final answer:
Fraud prevention is a fundamental aspect of business. It involves setting up a hotline for tips and assessing the risk of fraud to develop strategies for mitigation.
Step-by-step explanation:
Fraud prevention is a fundamental aspect of business. One way to prevent fraud is by setting up a hotline where people can report any suspicious activities or tips. This hotline allows individuals to anonymously report potential fraud, which can help identify and mitigate fraudulent activities.
Another important aspect of fraud prevention is assessing the risk of fraud and developing concrete responses to mitigate those risks. This involves evaluating vulnerabilities and implementing measures to eliminate opportunities for fraud. For example, insurance companies can offer lower rates on property insurance to businesses that install top-level security systems and have them inspected regularly.