One of the disadvantages of Benford's Law in detecting fraud is:
A) potential suspects are more likely to know you are trying to detect fraud than if you didn't use such detection techniques.
B) users must be thoroughly trained in its complexities to implement and use.
C) that those cases with the lowest probabilities do not match Benford's Law and may need further investigation.
D) it only broadly identifies the possible existence of fraud; it fails to narrow possibilities to a manageable field of promising leads.

Question

Quizplus · Accepted Answer

Benford's Law is useful for identifying anomalies in data sets that could indicate fraud, but it is not precise in pinpointing specific instances or actors involved in fraudulent activities. It can signal that something might be amiss, but further, more targeted investigation is necessary to identify the exact nature and perpetrators of the fraud.

One of the Disadvantages of Benford's Law in Detecting Fraud