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1. Katie works in the accounting department of a a. Fictitious vendor.
construction company. The company has been b. Passthrough.
contracted on a big community project that c. Business email compromise.
is frequently in the news. When she received d. Electronic payment tampering.
an urgent email from her boss instructing
her to pay the attached invoice, she promptly
paid it, even though the vendor was not one
of their approved suppliers. At the end of
the month, when the company was unable to
fully meet its obligations, Katie learned that About the
the company was short by the exact amount authors
of the urgent invoice and that her boss never
requested any extra payments to be made. To Laura Harris, CFE,
what type of scam did Katie fall victim? is a research
specialist for the
Association of
Certified Fraud
2. Many fraudsters submit fake invoices to every a. The invoice only lists a post office box address Examiners, where
company they can find. When a company for contact. she focuses on
receives an unexpected invoice from a b. The invoice has an out-of-state phone number. writing about
vendor they do not immediately recognize, c. The vendor’s information is expired in the and researching
they should examine it closely. Which of the master file. accounting fraud.
following is a red flag that an invoice might be d. The business email address is listed with a Andi McNeal,
from an illegitimate shell company? representative’s name. CPA, CFE, is vice
president of
education for the
Association of
3. Mickey does not want to pay his high personal a. Joshua trusts that Mickey and all his employees Certified Fraud
credit card bill, so he plans to slip it in with the submit accurate invoices. Examiners, where
other bills and invoices his company pays each b. Joshua checks every invoice and bill against the she oversees the
month. While he cannot authorize payments, supporting documentation. development
his supervisor, Joshua, can. Which of the c. Joshua pays every bill and invoice that crosses and production
following would help prevent Joshua from his desk immediately. of educational
falling victim to Mickey’s scheme? d. Joshua checks the vendor file against the materials related
invoices he receives. to the prevention,
detection, and
investigation of
fraud. To comment
on this article
4. Marcella is an accounts payable clerk. a. Marcella checks whether the invoice number has or to suggest an
Although she receives multiple invoices from been submitted from the vendor before. idea for another
the same vendors frequently throughout b. Marcella calls the vendor after receiving every article, contact
the month, she plans to implement controls invoice to verify they sent it. Courtney Vien at
to ensure each one is genuine. Which of c. Marcella holds every invoice past its due date, Courtney.Vien@
the following measures would be most only paying when she receives request notices. aicpa-cima.com.
helpful in preventing Marcella from paying a d. Marcella checks the invoice date to see if more
false invoice? than one invoice was submitted by the vendor.

journalofaccountancy.com October 2022 | 13