Instructional Method
CPE Credits
Experience Level
Group Interactive Based
02
Basic
Course ID
Field of Study
Author or Speaker
MM-333.19
Auditing
Michael Morgan
The Fraud Triangle – Donald Cressey (1953)
Opportunity, Incentive or Pressure, and Rationalization or Attitude
Discrepancy between pay for government employees versus the private sector occasionally rationalize the misappropriation as compensation to make salary “equal”. A manager uncovered fraud when his bookkeeper unexpectedly missed a few days of work and he opened a bank statement. While looking through canceled checks from the statement he was shocked, made a few phone calls and ended up bringing in a forensic accountant. What type of fraud is this? How does fraud like this occur? What actions could have been used to stop this fraud? How could this have been detected during an audit? These are just a few of the questions we are going to look at and answer.