A system of policies and procedures to prevent and detect illegal acts committed by managers,employees,customers,or business partners is called __________.
A)Check and balances
B)Regulatory compliance
C)Internal fraud
D)Fraud risk management

Question

Quizplus · Accepted Answer

The system referred to is specifically aimed at preventing and detecting fraud, making the best choice the one that most closely aligns with this objective. Fraud risk management refers to the policies, procedures, and controls that are put in place to prevent, detect, and respond to fraud risk. Choices A and B may be important components of a fraud risk management system but do not capture the full scope of what is being described. Choice C refers specifically to fraud committed by internal actors, which is only one type of fraud that the system may address.

A System of Policies and Procedures to Prevent and Detect