ForensicSpot10 modules
Forensic Auditing and Fraud Examination
The audit and fraud-examination side of financial forensics: the examination process, fraud schemes, detecting misappropriation and statement fraud, and reporting.
- 60hours
- 30topics
- 10modules
Module 16 hrs3 topics
Forensic Auditing Foundations
What forensic auditing is and how it sits within financial forensics.
Start module- Forensic Auditing: Definition and ScopeForensic auditing combines audit techniques with investigative methods to examine records for fraud, traced from its origins to today's practice.13 min
- Legal and Regulatory Framework for Forensic AuditsSurveys the overlapping civil, criminal, and regulatory frameworks, from the AICPA and ACFE to ICAEW, that govern forensic audit mandates globally.13 min
- Roles and Qualifications of Forensic AuditorsCovers the CFE and CA credentials, typical engagement team composition, and the ethical obligations that govern forensic auditors.13 min
Module 26 hrs3 topics
Auditing versus Forensic Auditing
How a forensic audit differs from a statutory financial audit.
Start module- Statutory Audit Versus Forensic Audit: Key DistinctionsContrasts statutory audits, which assess true-and-fair financial statements, with forensic audits scoped to detect or investigate wrongdoing.13 min
- Audit Standards and the Auditor's Responsibility for Fraud DetectionExamines ISA 240's fraud-risk responsibility for external auditors, and where a routine audit ends and a forensic investigation begins.13 min
- Engagement Triggers and Referral PathwaysHow whistleblower reports, regulatory referrals, and routine-audit anomalies trigger forensic audits, and how the trigger shapes engagement scope.13 min
Module 36 hrs3 topics
The Fraud Examination Process
Predication, planning, evidence gathering and the examination engagement.
Start module- Predication and Engagement Planning in Fraud ExaminationsPredication, the facts and circumstances that justify starting a fraud examination, and how it shapes engagement scope and the fieldwork plan.13 min
- Evidence Gathering Methods in Fraud ExaminationsSurveys the document review, financial analysis, digital forensics, and interview methods examiners layer to build a defensible evidentiary record.13 min
- Interviewing Suspects and Witnesses in Fraud ExaminationsCovers cognitive interviewing, the Wicklander-Zulawski non-confrontational approach, and handling voluntary admissions in cross-border investigations.13 min
Module 46 hrs3 topics
Fraud Schemes and the Fraud Triangle
Pressure, opportunity and rationalisation, and how schemes are classified.
Start module- The Fraud Triangle: Pressure, Opportunity, and RationalisationDonald Cressey's fraud triangle, pressure, opportunity, and rationalisation, and how auditors use it to identify high-risk individuals.13 min
- The Fraud Diamond and Other Extended Fraud ModelsWolfe and Hermanson's fraud diamond adds capability to Cressey's triangle, alongside the MICE model and later behavioural refinements.13 min
- The ACFE Fraud Tree and Occupational Fraud ClassificationThe ACFE Fraud Tree's three branches, asset misappropriation, corruption, and financial statement fraud, and the loss data in its Report to the Nations.13 min
Module 56 hrs3 topics
Asset Misappropriation
Detecting cash, billing, payroll and inventory schemes.
Start module- Cash Theft and Skimming SchemesSkimming steals cash before recording; cash larceny after. Covers both schemes' mechanics and detection via surprise counts and reconciliation analysis.13 min
- Billing and Vendor Fraud SchemesBilling fraud via fictitious vendors and overbilling, detected through shell-company checks, three-way match breakdowns, and Benford's Law analytics.13 min
- Payroll and Inventory Fraud SchemesGhost employees, falsified timesheets, and inventory theft, detected through headcount reconciliations and physical inventory observations.13 min
Module 66 hrs3 topics
Financial Statement Fraud
Detecting manipulated revenue, expenses and disclosures.
Start module- Revenue Recognition Fraud: Detection and IndicatorsChannel stuffing, round-tripping, and bill-and-hold arrangements, the revenue recognition schemes auditors detect through red-flag analysis.13 min
- Expense Understatement and Liability ManipulationHow management understates expenses and hides liabilities off-balance-sheet, and the cut-off testing and reserve analysis that detect it.13 min
- Earnings Management Versus Fraud: The ContinuumWhere permissible earnings management under IFRS and GAAP crosses into fraud, illustrated by enforcement cases from the SEC, FRC, and SEBI.13 min
Module 76 hrs3 topics
Corruption and Money Laundering
Auditing bribery, conflicts of interest and laundering.
Start module- Auditing Bribery and Conflicts of InterestDetecting bribery and conflicts of interest in procurement and related-party records, under FCPA, UK Bribery Act, and equivalent statutes.13 min
- Money Laundering Typologies and Audit IndicatorsReal estate, trade-based laundering, and shell structures, the typologies auditors trace through placement, layering, and integration.13 min
- AML Compliance Audits and FATF StandardsHow forensic auditors assess AML programme adequacy against FATF Recommendations, testing transaction monitoring and due diligence processes.13 min
Module 86 hrs3 topics
Evidence and Data Analytics
Documentary evidence, sampling and analytics in fraud audits.
Start module- Documentary Evidence and Chain of Custody in Fraud AuditsDocumentary evidence, authentication, and chain-of-custody in fraud audits, covering electronically stored information under the Federal Rules of Evidence.13 min
- Sampling Techniques in Fraud AuditsAttribute sampling, monetary unit sampling, and stratified sampling, and how fraud audits target risk indicators rather than random selection.13 min
- Data Analytics and Continuous Monitoring in Fraud DetectionBenford's Law, duplicate detection, and network link analysis, the analytics behind testing entire transaction populations for fraud.13 min
Module 96 hrs3 topics
Internal Controls and Fraud Risk
Control design, fraud risk assessment and prevention.
Start module- Internal Control Frameworks and Control DesignThe COSO Internal Control Framework and COBIT for IT controls, and how forensic auditors evaluate preventive versus detective control design.13 min
- The Fraud Risk Assessment ProcessThe COSO Fraud Risk Management Guide's methodology: scheme mapping, inherent risk scoring, and control gap analysis.13 min
- Whistleblower Programmes, Hotlines, and Anti-Fraud CultureWhistleblower hotlines surface fraud earliest, per ACFE research. Covers programme design and protections under Dodd-Frank and the EU Directive.13 min
Module 106 hrs3 topics
Reporting and Expert Testimony
The forensic audit report, findings and testifying.
Start module- The Forensic Audit Report: Structure and StandardsThe anatomy of a forensic audit report, the difference between factual and opinion reports, and what makes the document legally defensible.13 min
- Presenting Findings to Management and Audit CommitteesHow forensic auditors brief boards and audit committees on sensitive findings while balancing transparency against legal privilege.13 min
- Expert Witness Testimony in Fraud CasesExpert witness qualification under Daubert and the Civil Procedure Rules, cross-examination preparation, and the advocate-versus-expert boundary.13 min