Internal Audit Training, IT Audit Training Courses, Information Security Training - CPE Interactive

Continuing Professional Education for Audit, Assurance, & Info Security

Course Description

In today’s Internal Audit environment, auditors are expected to be knowledgeable in all areas of their business, help a company meet its objectives through value-add auditing, and now are more and more frequently expected to catch fraud during the audit process. A standard audit catches less than 15% of existing frauds because audits are designed to test effectiveness of controls and evaluate operating efficiency, not find fraud.

This course is designed to provide the fundamentals for developing fraud audit programs and incorporating fraud detecting into the standard auditing process.

This in-depth course looks at the complete fraud tree and covers all common fraud schemes and scenarios to provide the participants with the knowledge needed to start implementing fraud auditing into their audit processes immediately. Additionally the role of audit and the proper process for auditors assisting or conducting fraud investigations will be covered.

Learning Objectives

  • Understanding the fraud triangle
  • Understanding fraud fundamentals
  • Understanding the Fraud Tree
  • Common fraud schemes and scenarios
  • Characteristics of fraudsters
  • Knowledge of Prevention and Detection Programs for Fraud
  • Implementing fraud auditing techniques to an Audit
  • Conducting investigations

Course Outline

Principals for Managing Fraud Risk in an Organization

  • Governance
  • Fraud Risk Assessment
  • Prevention
  • Detection
  • Reporting

Fraud Risk Assessment Basics

  • Why conduct a Fraud Risk Assessment
  • Fraud Risk as part of an overall Enterprise Risk Management (ERM) Program
  • Potential obstacles and pitfalls for Fraud Risk Assessments
  • Best Practices in Fraud Risk Assessment
  • Internal Audit’s Role

Fraud Basics

  • The Fraud Triangle
  • ACFE 2018 Report to the Nation – Fraud & Corruption Statistics
  • Fraudsters – characteristics and behaviors

The Fraud Tree - Schemes and Scenarios

  • aCorruption
  • Financial Statement Fraud
  • Asset Misappropriation - Cash
  • Fraudulent Disbursements
  • Asset Misappropriation – Inventory and Other Assets

Integrating Fraud Auditing into the Internal Audit Program

  • Red Flags Common to various fraud schemes
  • Identifying Red Flags during the audit
  • Analyzing red Flags for actual fraud
  • Fraud auditing versus Controls auditing

Using Data Analytics for Fraud Auditing

  • Ratios
  • Benford's Law
  • Fuzzy Analysis

Prevention Programs

  • Control Activities
  • Human Resources
  • Anti-Fraud Training
  • Assessing Fraud Prevention Programs

Detection Programs

  • Detective Controls
  • Continuous Auditing and Monitoring
  • Hotlines

Fraud Investigations and Response

  • Audit’s role in investigation’s
  • Identify the barriers to effective incident response and how to avoid them
  • Obstacles and challenges in investigations
  • Fraud incident response checklists
  • Fraud Interviewing: the basics
  • Evidence and chain of custody

Additional Information

Who Should Attend

Auditors with at least 2 years’ experience in order to draw upon their professional audit experience

Learning Level

Intermediate

Delivery

Group-Live & Group Internet-Based

Field

Auditing

Advanced Preparation

None

Recommended Prerequisites

General Understanding of risk and internal audit processes

Session Duration

Online: N/A

On Site: 2 days

CPE Credits: 16