ACCT 251 Management Accounting

ACCT 490 – Fraud Examination College of Business Administration and Economics New Mexico State University Course Outline Spring, 2003

Professor: Dr. Sherry K. Mills, Ph.D., CPA Business Complex Building, Room 335 Office Phone: 646-5681; E-Mail: [email protected] Web-CT Address: http://salsa.nmsu.edu Office Hours: Tuesday, 5-6 PM Other times by appointment Class Meetings: Tuesday, 6-8:30, Business Complex Building, Rm BC111

Objectives of the Course:  Explore the various forms of fraud, who commits fraud, why and how they commit fraud, how to prevent fraud, how to perform fraud investigations, and what legal courses of action exist.  Improve your interviewing skills, and  Improve your Internet research skills.

Specific Goals of this Course: At the completion of this course, you should be able to:  Differentiate among the various forms of fraud  Understand the fraud triangle and apply it to various contexts  Increase your understanding of fraud prevention and internal controls  Identify appropriate internal controls for specific forms of fraud  Develop a plan for fraud investigation  Identify at least five sources of fraud for conversion investigations  Understand the framework for detecting financial statement fraud  Discuss the various forms of legal action that can be taken in fraud cases

Learning Methods: You have the opportunity to learn from lectures, guest lectures, videos, readings, Internet research assignments, team activities, and writing tasks. Ask questions frequently in class. Please come to class well prepared and ready to participate actively in class discussions by reading the material before each session, working through multiple choice questions and cases, and completing scheduled Internet research and Extended Case assignments.

Required Materials: Fraud Examination. Albrecht and Albrecht, 1st ed. Southwestern Publishing. Available at the NMSU bookstore in Corbett Center.

1 Upon registering for this course you will enrolled in the WebCT Page for this course. You may access it via the Internet at http://salsa.nmsu.edu. You will be expected to visit this site regularly and use it as one of the key tools for this course.

Grade Composition: Determination of the final course grade will be based on the cumulative points you earn from the following evaluations:

Element Percentage Internet Assignments 15% Extended Case Assignments 10% Class Participation (including video 25% summaries, chapter outlines, in-class activities Midterm Exam 25% Final Exam 25% Total Points Available 100%

Course grades are determined using a scale where 90-100% = A, etc.

Internet and Extended Case Assignments: You will complete 14 Internet assignments and 5 extended cases. These will be discussed during class on the due date. The assignments will be randomly selected for grading.

Class Participation: Video summaries: Five to ten videos will be presented during the course. You will be asked to answer questions related to the video. Chapter outlines: Undergraduate students will be responsible for preparing a detailed chapter outline for a single chapter. The outline must be posted on WebCt by noon on the Sunday before the chapter is covered in class. In class activities: During most classes, you will work in teams to synthesize answers for selected end-of-chapter cases. Your participation in preparing and presenting team answers will be monitored.

Course Standards: Absences: Regular attendance is expected. You are responsible for all materials covered and announcements made during class. To receive an excused absence for university for health reasons, you must provide a signed document excusing you from class that day. Students who miss an exam for a legitimate and documented reason will substitute their final exam score for the missed exam.

I cannot accept late assignments. Homework is due at the beginning of the class meeting on the date it is listed on the syllabus. If you must be absent on a day that homework is due, prior to class take your work to the accounting department office (Business Complex 228) and ask Leona to record the date and time of receipt.

2 Grades for all assignments will be posted to the “My Grades” section of WebCT. You have 1 week from the time grades are posted to dispute a grade. After this 1 week period, the grade will be locked and can not be changed.

Cell phones and pagers are extremely disruptive to the whole class. Turn them off.

Dishonesty: Plagiarism will not be tolerated and will, at a minimum, result in a "0" on the assignment. See your student handbook for a definition and a list of penalties if caught. Cheating on examinations, or other serious forms of academic dishonesty, will result in a grade final course grade of "F" (and a required report to university officials).

Calculators: Calculators are necessary in order to complete some assignments and exam questions. You may not share calculators during exams.

Incomplete ("I" grade): The course grade of "I" will be assigned only in circumstances covered in the undergraduate catalog.

Students with disabilities: If you have, or think you may have, a disability that interferes with your performance as a student, you are encouraged to discuss this on a confidential basis with me, the Disabled Student Programs Coordinator at 646-1921, and/or the Americans with Disabilities Act Coordinator at 646-7795. If you have a condition that may affect your ability to exit from the premises in case of emergency, you are urged, for safety reasons, to notify any of the above persons.

Writing: Your writing matters. The quality of your writing will affect your grades on examinations and assignments prepared out of class. Surveys of managers consistently show that they consider the lack of adequate communications skills to be the greatest deficiency of the graduates they hire. Therefore turn-in your homework assignments “professionally” accomplished: e.g., organize and label your work using styles and formats as shown in the text.

Changes: I reserve the right to change classroom policies or assignments if circumstances dictate. Any changes will be announced in class and it is your responsibility to be aware of them.

3 ACCT 490 FRAUD EXAMINATION ASSIGNMENTS – NMSU – Spring 2003 Tu Chapter 9 – Inquiry Methods and Internet Chap 9 -- #1 and #4 Mar.11Date Fraud Reports Topic Homework Due on this Date Tu Jan.14 GradChapter Student: 1 – The ______Nature of Fraud TuTu Mar.18Jan.21 ChapterChapter 102 – – Who Financial Commits Statement Fraud and InternetChap 10 Chap Extended 2--#1 Case or #2 #4 FraudWhy Grad Student: ______Tu Jan.28 MarchChapter 24 3 to– FightingMarch 28 Fraud: – Spring An Break Internet Chap 3 -- #1 Overview Internet Chap 4 -- #1 AND #2 Tu Apr.1 ChapterChapter 114 – – Preventing Revenue and Fraud Inventory Chap 11 Extended Case #6 Tu Feb.4 FraudsChapter 5 – Recognizing the Internet Chap 5 -- #1 – Compare and GradSymptoms Student: of Fraud______contrast 2 cites of your choice Tu Apr.8 Chapter 12 – Liability, Asset, and ANDInternet Internet Chap 12#2 -- #1 Tu Feb.11 InadequateChapter 6 – Disclosure Proactive ApproachesFraud to InternetChap 12 Chap Extended 6 -- #2 Case AND #7 #3 GradDetecting Student: Fraud ______TuTu Apr.15Feb.18 ChapterChapter 137 – – Investigating Fraud Against theft and InternetChap 13 Chap Extended 7 -- #1 Case #5 OrganizationsConcealment Tu Feb.25 Exam #1 TuTu Apr.22Mar.4 ChapterChapter 168 – -- Conversion Legal Follow-up Investigation Internet Chap 8 -- #4 AND choice of Tu Apr.29 PresentationsMethods Grad Student: ______either #1, #2, or #3

Exam #2