Bob Taylor, CFE, is writing a report on his findings from an investigation into an alleged inventory larceny scheme. During his investigation, he was unable to accurately quantify the amount of the loss to the victim company, but he assumes that the loss falls between $100,000 and $200,000. In the report, Bob should report the amount of the loss as $200,000 so that the company can recoup as much money as possible from the perpetrator.

Question

Quizplus · Accepted Answer

Bob should not report an amount that he was unable to verify through his investigation. Reporting an incorrect amount could have legal and financial consequences for both the victim company and the perpetrator. Instead, Bob should report that he was unable to accurately quantify the amount of the loss and provide all of the evidence he gathered during his investigation.

Bob Taylor, CFE, Is Writing a Report on His Findings