Skip to main content

Financial Statement Fraud Detection: Forensic Accounting and Analysis

Back to Course Schedule
Date(s): Jun 08, 2022 - Jun 09, 2022
Time: 8:00AM - 4:30PM
Registration Fee: $299.00
Cancellation Date: Jun 01, 2022
Location: JOHN M. KEEL LEARNING CENTER
City: Austin
Local Hotels:

Course Description

Financial statement fraud continues to capture news headlines around the world and the question continually asked is: “Where were the auditors?” This course will help both internal and external auditors gain an understanding of financial statement fraud, how it is committed, the motivation behind it, and, most importantly, how to identify it. The course will provide participants with the fraud knowledge and forensic accounting techniques necessary to identify financial statement fraud where it is occurring. Real-life comprehensive fraud case studies and the forensic accounting and fraud examination techniques used to identify and quantify the frauds will be used throughout the course to further the learning process. Participants will work through fraud case study examples and exercises.

This interactive course will be taught through a combination of lecture, group exercises, and class participation.


Potential CPE Credits: 16.0
Govt Hours: This class meets 16.0 hours of the 24-hour requirement for governmental CPE under Government Auditing Standards (yellow book), in most cases.
Technical Hours: This class meets 16.0 CPE credits of technical training in compliance with Texas Admin. Code Rule 523.102.

Instruction Type: Live
Experience Level:
Category: Accounting

Course Objectives

Upon completion of this course, participants will be able to:

• Recognizing the most common financial statement fraud schemes

• Identifying the red flags of financial statement fraud

• Learning how to identify the red flags associated financial statement fraud

• Understanding the fraud fundamentals used to identify fraud within your organization

• Understanding the characteristics of fraudsters

• Learn financial statement fraud detection methods


Detailed Course Outline

Introduction to Financial Statement Fraud

  • Financial Statement Fraud Cases

  • Types of Financial Statement Fraud

Review of Fraud Basics

  • Definitions of Fraud

  • Fraud Triangle

  • Fraud Tree

  • Fraudster characteristics

  • Highlights from the 2020 ACFE Report to the Nations

Auditor Responsibility for Fraud

  • Auditing standards for fraud - IPPF, COSO, SOX

  • 10 Commandments for Fraud Auditing

  • Internal Auditor's role

Fraud Programs and Governance

  • Fraud programs and governance

  • Fraud risk assessments

  • Framework for fraud risk assessments

Improper Revenue Recognition

  • Important accounting concepts

  • Revenue-based schemes

  • Long-term contracts

  • Channel stuffing

  • Sales with conditions

  • Fictitious sales/ revenue

  • Contingencies

  • Related parties

  • Indirect methods of revenue manipulation

Improper Deferral of Costs and Expenses

  • Accounting method changes

  • No recording

  • Concealment of costs

Improper Asset Valuation

  • Accounts Receivable

  • Inventory

  • Fixed Assets

  • Business combinations

Improper Recording of Liabilities

  • Changes in accounting

  • Failure to record

  • Off-balance sheet entities

Disclosures

  • Significant changes and events

  • Related-party transactions

  • Management discussion and analysis

Financial Statement Fraud Detection Methods

  • Horizontal and vertical analysis

  • Cash flow analysis

  • Ratios analysis

Advanced Fraud Detection Analysis

  • Advance Ratios

  • Benford's Law

  • Beneish M-Score

  • Damerau-Levenshtein - fuzzy logic


Prerequisites

Professionals with at least 2 years' experience.

YellowBook Government hours granted per 4.23 (l).


Instructors

Mary Breslin

Mary Breslin is the Founder of Verracy Training & Consulting and specializes in Internal Audit transformations, Operational and Financial Auditing, Fraud Auditing & Investigations, and Corporate Accounting.

 

Ms. Breslin’s career spans over 20 years in Internal Auditing, Management and Accounting for companies such as ConocoPhillips, Barclays Capital, Costco Wholesale, Jefferson Wells and Boart Longyear. With significant International experience, she has managed audit programs in more than 50 countries. Most recently, Ms. Breslin held the title of Vice President and Chief Audit Executive where she transformed a checklist audit function into a value-add audit department which regularly delivered measurable business results through the use of risk-based auditing, data analytics, continuous education and skill development for her leadership team and staff.

 

Mary was an early adopter of analytics for audit and has been utilizing data analytics in her career in both audit and fraud work for over 15 years. She has transformed the capabilities of audit functions using data analytics programs using ACL, IDEA and Arbutus Analyzer. Through her expertise and guidance, she has helped large global organizations leverage analytics to significantly increase coverage, automate continuous auditing and monitoring, and actively fight fraud.

 

Additionally, Ms. Breslin has extensive Fraud Audit and Investigation experience and has conducted major fraud investigations on multiple continents including large scale federal cases domestically. She has developed and implemented fraud auditing programs in various industries focused on both accounting and operations.

 

Ms. Breslin attended Rutgers University and received her BS in accounting, and an MBA from the University of Phoenix while living and working overseas. She is a Certified Internal Auditor (CIA), and Certified Fraud Examiner (CFE). She maintains memberships in the Institute of Internal Auditors (IIA), American Institute of Certified Public Accountants (AICPA), ISACA, the Society of Corporate Compliance (SCCE), and the Association of Certified Fraud Examiners (ACFE) and is currently an instructor and conference speaker for the IIA, The ACFE and ISACA.


Additional Information

TAC Rule 523.142(g) requires the CPE Sponsor to monitor individual attendance and assign the correct number of CPE credits. Participants will be asked to document their time of arrival and departure in compliance with this Rule. Additionally, attendance will be monitored throughout the day and CPE certificates will reflect actual attendance of each participant.

If you are making travel plans to come to Austin, we recommend making "refundable" air and hotel reservations or waiting until 14 days before the class to actually book your reservations. Courses are occasionally canceled or rescheduled due to low enrollment. We determine whether a course has enough participants 16 days prior to the course date. If we cancel or reschedule, we will email the participant and his or her billing contact no later than 14 days before the original class date.

The course coordinator will contact you with parking information. Handicapped parking is free at the meters around the downtown area.

Vending machines with Coca-Cola products and various snack items are available. There is also a refrigerator and microwave in our coffee bar area. Feel free to bring in your own drinks and food if you prefer.

You might want to bring a light sweater or jacket, as room temperatures vary.

To see answers to our Frequently Asked Questions, visit http://www.sao.texas.gov/training/faq.html.


Back to Course Schedule