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Exam IIA-CIA-Part1 topic 6 question 341 discussion

Actual exam question from IIA's IIA-CIA-Part1
Question #: 341
Topic #: 6
[All IIA-CIA-Part1 Questions]

Which of the following tests would most likely help discover a fictitious invoice?

  • A. Compare vendor addresses to employee addresses.
  • B. Match cancelled checks to invoices.
  • C. Search for duplicate payment amounts.
  • D. Check employee bank records against invoice amounts.
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Suggested Answer: B 🗳️

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Kozy
3 weeks, 5 days ago
Selected Answer: A
A fictitious invoice often stems from schemes where employees create fake vendors to generate fraudulent payments. One of the most effective and classic fraud detection techniques is: ✅ Comparing vendor addresses to employee addresses, ✅ Identifying overlaps, which could indicate a shell company or fictitious vendor controlled by an insider, ✅ This helps uncover fraudulent setups where payments appear legitimate but are funneled back to the employee.
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Elvoo
1 year, 1 month ago
why not A?
upvoted 2 times
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