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Relative Significance of Internal Controls in Preventing Accounting Fraud - Case Study Example

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This paper "Relative Significance of Internal Controls in Preventing Accounting Fraud" discusses that virtually all organizations are vulnerable to fraud. The most important role that organizations can play this is to establish which areas of their systems are more exposed…
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Relative Significance of Internal Controls in Preventing Accounting Fraud
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Download file to see previous pages Reports have indicated that indeed fraud is one of the crimes that are significantly under-reported. At the same time, the extent to which organizations are willing and even able to cooperate with various agencies in tackling the issue has been brought to the limelight. In fact, agencies claim that greater co-operation is one of the most effective ways that can be used to achieve a real impact in tackling this vice. Under such circumstances, the deep-rooted nature of the problem call for well enhanced and facilitated bodies that would bring into the picture counter-fraud initiatives. Other observations made in recent times as far as fraud is concerned to cite that these occurrences are almost unlimited as to the dishonest conduct they criminalize. One of the most conspicuous developments in this phenomenon is that everyone participating is looked at from the same perspective. That is, if an individual attempts fraud, regardless of whether they succeed or not, and in spite of whether they originated the idea or not, they are included in the bracket of fraudsters and labeled as though they consummated their act of fraud.

Basically, this paper is a detailed report that looks into how fraudulent dealings affect organizations in a basic and even detailed manner. This report highlights all the aspects that are related to fraud and measures taken to counter. From a wider perspective, the report seeks to show how fraud is understood from a daily life perspective by individuals and organizations Thus, it takes into account any misconceptions that relate to this aspect of criminal activities. One of the most conspicuous elements of this kind of crime is that it is not limited to a given sector of the economy but can affect any organization (Baker, 2006). Quality analysis has been presented to enable organizations to take action where necessary as well as put in place other mechanisms that can curb the vice. The discussion further takes into account the various aspects on which organizations are vulnerable. ...Download file to see next pagesRead More
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