Course Description
This course sets out to explain what accounting fraud is, how it can be detected and therefore how it might be prevented.
What Do Participants Learn?
- Discuss the structure and foundations of financial reporting
- Be aware of creative accounting and how it can be determined
- Determine the need for a forensic accounting by means of a case study and other analysis
- Appreciate the nature or Benford's Law and its increasingly important role in the prevention and detection of fraud
- Discuss the role of the auditor in detecting fraud
- Carrying out a variety of statistical tests on financial reports and accounting data
Who Should Attend?
- Managers
- Finance and accounting professionals and those for whom the prevention and detection of fraud is a major issue
What Will the Learning Experience Include?
Phase: 1
Introduce
- Comprehensive pre-program activities include:
- Web-based information forms & surveys completed by attendee.
- Direct consultation with the attendee about the expectations.
- During the training, participants engage in data, activities, and conversations that lead to insight and knowledge.
- Participants learn from expert trainers who have both academic and business experiences.
- Highly applicable training content & instructive activities for adding depth to training topics.
- **A half-day site visit for integrating the experience & plan next steps. Opportunities to provide connections, ideas & support.
Phase: 2
Explore & Practice
Phase: 3
Apply
- Apply & sustain the learning experience by using this ongoing support:
- To ensure participant has new skills or behavior progress.
- Optional, fee-based mentoring & coaching with the trainer.
- Training materials & additional documents (e-books, pdf files, presentations and articles)
- Evaluate your training experience by giving us feedbacks and help us to reach our organizational goals.
- Participant's Evaluation
- Trainer's Evaluation
Phase: 4
EVALUATE
Section One: Financial Accounting Review
- Structure of financial reports
- Regulation of financial reporting
- Financial reporting standards
- The Analysis of Financial Reports
- Detecting bias in accounting numbers
- Qualitative analysis: what people say and what they might mean
Section Two: Creative Accounting
- What is creative accounting and why is it a bad thing?
- Inappropriate accruals, estimates, and excessive provisions
- Identifying premature revenue recognition and fictitious revenue
- Aggressive capitalization
- Creative income statements: classification and disclosure
- Problems with cash flow reporting
Section Three: Forensic Accounting
- The basics of forensic accounting
- The need for Sarbanes-Oxley
- The going concern concept in greater detail
- Cases in which forensic accounting was used
- Off-balance sheet finance
- Introduction to Benford's Law
Section Four: The Role of the Auditor and Detecting Fraud
- The Role of the Auditor in the Prevention and Detection of Fraud
- Deterring Fraud - The fraud triangle
- The COSO "Internal Control-Integrated Framework,"(COSO Model)
- 20 ways to detect fraud
- Identifying fraud using time series analysis
- Fraud risk assessments manage
Section Five: Tools for Detecting Fraud
- Further Statistical Analysis of accounting and other data
- Further application of Benford's Law
- Chi-Square and Kolmogorov Smirnoff Tests
- Mean Absolute Deviation test
- Mantissa Arc Test
- Second-Order and Summation Tests