Question

ABC Company is a relatively small dry-cleaning operation that has a very steady level of business. Since the company hired a new employee, however, cash inflows have decreased and the amount of promotional coupon redemptions have increased dramatically. The owner of the company has been very impressed with this new employee, but has suspicions regarding her cashiering practices. When comparing cash sales to check and credit card sales, the owner noted that the coupon redemption rate was dramatically higher for cash sales. The owner does not want to wrongly accuse the employee if she is innocent, but does want to find out if fraud is occurring. The owner calls you as an expert on fraud and asks you to recommend a reliable way of gathering evidence that could determine if fraud is occurring. Surveillance and invigilation are two possible investigative methods that could be used to gather evidence in this case. a. True b. False

Answer 1

The assessment procedures that I will propose for this circumstance are perception and invigilation.

• The laborer being alluded to should be presented to dynamic perception.

• This should be conceivable by setting up a camera near the cash enroll. This will enable to screen the activities of the guessed laborer and choose whether the agent is appreciating any inappropriate activities.

• In any case this method will offer rising to insurance gives that the owner ought to oversee.

• The assumed laborer should in like manner be presented to invigilation.

• A close by track of cash streams and coupon recovery would should be kept and the data should be investigated freely for the going with time periods - before the invigilation time span, in the midst of the invigilation time period and after the assessment time period.

This will help in choosing any glaring variations from the norm and blunders.