This course provides an overview of the various forms of financial fraud and manipulation that can distort financial statements and mislead stakeholders. It addresses tactics used by some companies to artificially inflate revenue, understate liabilities, mismanage assets, and misreport disclosures. By understanding these fraudulent practices, auditors can better identify these types of frauds and ensure more accurate and transparent financial reporting for stakeholders.
Course Publication Date:
April 09, 2025
This course is available with
NO ADDITIONAL FEE if you have an active
self study membership or
all access membership or can be purchased for
$40.00!
| Author: | Kelen Camehl |
| Course No: | AUD-FSFKEY-29005 |
| Recommended CPE: | 4.00 |
| Delivery Method: | QAS Self Study |
| Level of Knowledge: | Overview |
| Prerequisites: | None |
| Advanced Preparation: | None |
| Recommended Field of Study: | Auditing
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Learning Objectives
- Identify common methods of manipulating revenue and earnings in financial statements.
- Recognize indicators of inflating earnings with non-recurring items and overstating deferred revenue.
- Distinguish between legitimate and fraudulent journal entries.
- Recognize indicators of backdating transactions and how they can impact financial reporting.
- Identify fraudulent activities that involve understating expenses and liabilities in financial statements.
- Recognize common schemes for misclassifying financial statement items and manipulating reserves.
- Distinguish between legitimate and fraudulent lease classifications under accounting standards.
- Identify fraud schemes that involve overstating assets and manipulating equity.
- Recognize fraud indicators related to depreciation, amortization, and stock option accounting.
- Differentiate between legitimate and fraudulent related party transactions.
- Identify indicators of misleading disclosures and misreporting of foreign currency transactions.
- Recognize red flags indicating failure to disclose contingent liabilities.
- Distinguish between legitimate and fraudulent consolidation practices.