Description

ACC 692 Module Eight Activity Guidelines and Rubric

Scenario

You are an internal auditor at Streaming Entertainment Corporation. The Training and Development department in your organization is developing training materials on how to use financial analysis to identify fraud within the organization. The material will be presented to senior managers of the company at a management retreat. You have been asked to assist in developing materials by preparing content that can be used to discuss how to identify red flags of fraudulent activity by using financial statement analysis.

Directions

For this activity, there are two deliverables. Use the case study spreadsheet linked in What to Submit to perform a financial analysis and then write a memo to describe your findings.

Part One: Financial Analysis

Use the spreadsheet in the Supporting Materials section to perform trend analysis and vertical analysis of financial statements. Specifically, you must address the following rubric criterion:

1. Perform a financial analysis to identify potential red flags for fraud.

Part Two: Memo

Write a memo addressing red flags identified in your analysis. Specifically, you must address the following rubric criteria:

1. Describe how a financial analysis can be used to identify red flags of fraud.
2. Interpret why the red flags found in the specific case are indicators of fraud.
3. Discuss the importance of collecting supporting evidence to form conclusions about fraud identified in this specific case.

What to Submit

Excel Spreadsheet

Your submission should include the completed Module Eight Activity Case Study Spreadsheet showing the calculations for the trend analysis and vertical analysis. This Excel spreadsheet also provides the financial data needed to complete the trend analysis and vertical analysis.

Memo

Your submission should include a 1- to 2-page Word document with 12-point Times New Roman font, double spacing, and one-inch margins. Sources should be cited according to APA style.

Module Eight Activity Rubric

Criteria	Exemplary (100%)	Proficient (90%)	Needs Improvement (70%)	Not Evident (0%)	Value
Part One: Financial Analysis	Performs a financial analysis to identify potential red flags for fraud with no errors	Performs a financial analysis to identify potential red flags for fraud with minimal errors	Performs a financial analysis to identify potential red flags for fraud with significant errors	Does not attempt criterion	30
Part Two: Red Flags	Exceeds proficiency in an exceptionally clear, insightful, or sophisticated manner	Describes how a financial analysis can be used to identify red flags of fraud	Shows progress toward proficiency, but with errors or omissions; areas for improvement may include adding details related to describing how a financial analysis can be used to identify red flags of fraud	Does not attempt criterion	20
Part Two: Indicators of Fraud	Exceeds proficiency in an exceptionally clear, insightful, or sophisticated manner	Interprets why the red flags found in the specific case are indicators of fraud	Shows progress toward proficiency, but with errors or omissions; areas for improvement may include adding details related to interpreting why the red flags found in the specific case are indicators of fraud	Does not attempt criterion	20
Part Two: Supporting Evidence	Exceeds proficiency in an exceptionally clear, insightful, or sophisticated manner	Discusses the importance of collecting supporting evidence to form conclusions about fraud identified in this specific case	Shows progress toward proficiency, but with errors or omissions; areas for improvement may include adding details related to discussing the importance of collecting supporting evidence to form	Does not attempt criterion	20
Clear Communication	Exceeds proficiency with an intentional use of language that promotes a thorough understanding	Consistently and effectively communicates in an organized way to a specific audience	Shows progress towards proficiency, but communication is inconsistent or ineffective in a way that negatively impacts understanding	Shows no evidence of consistent, effective, or organized communication	5
Citations and Attributions	Uses citations for ideas requiring attribution, with few or no minor errors	Uses citations for ideas requiring attribution, with consistent minor errors	Uses citations for ideas requiring attribution, with major errors	Does not use citations for ideas requiring attribution	5
Total:					100%