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1. All the following are ways a fraudster can a. Using the business’s employer identification About the
perpetrate business identity theft against a number (EIN) to file fraudulent individual tax author
small business EXCEPT: returns and obtain a refund.
b. Using an existing business’s information to Andi McNeal, CPA,
fraudulently register that business in anoth- CFE, is director of
er state. research for the
c. Mirroring an organization’s address to receive Association of
fraudulent orders of goods. Certified Fraud
d. Redirecting employees with pop-up windows to Examiners, where
gain third-party remote access to the organiza- she oversees the
tion’s systems. development
and production
2. Management at Blue Co. has hired Carlos, a a. (1) Mary-Ellen, (2) Henry, (3) Katrina, of educational
CPA, to conduct a fraud investigation based (4) James. materials related
on allegations that Mary-Ellen, a clerk in the b. (1) Henry, (2) Katrina, (3) James, to the prevention,
accounting department, is stealing from the (4) Mary-Ellen. detection, and
company. The evidence Carlos has collected c. (1) Katrina, (2) James, (3) Mary-Ellen, investigation
so far indicates that Mary-Ellen obtained the (4) Henry. of fraud. The
login information used by her supervisor, d. (1) James, (2) Mary-Ellen, (3) Henry, questions for
Katrina, to make electronic funds transfers. (4) Katrina. this article were
Mary-Ellen has been waiting until Katrina compiled by Teri
leaves in the evenings and then logging Saylor, a freelance
in to the company’s banking system and writer based in
transferring money to her husband’s business North Carolina.
account. The only other person with the login
information to the system is the company’s
CFO, Henry, but there is no evidence he is
aware of the situation. However, there is also
some evidence that Mary-Ellen paid off her
co-worker, James, to keep him from turning
her in after he discovered her scheme.
Based on the evidence collected, in what
order should Carlos interview these parties?

3. Amanda, a purchasing agent for CCM Inc., a. A shell company scheme.
has the authority to independently approve b. Bid splitting.
purchases of up to $5,000. She knows the c. Duplicate invoicing. To comment on
company is about to undertake a project with d. Cost mischarging. this article or to
a projected value of $18,000, and she wants suggest an idea
to direct the business to a specific vendor. for another article,
Therefore, she divides the contract into four contact Courtney
separate contracts worth $4,500 each and Vien at Courtney.
awards them to her preferred vendor. What Vien@aicpa-cima.
type of scheme did Amanda undertake? com.

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