Question

To successfully prevent fraud, and organization must:

a. Identify and remedy internal control weaknesses.
b. Explicitly consider fraud risks.
c. Take proactive steps to create the right kind of environment.
d. All of the above.

Answer 1

d) All of the above, To prevent fraud, an organization must address internal control weaknesses, assess fraud risks, and foster a transparent environment. All the listed steps are essential in creating a system that discourages and detects fraud.

Step-by-step explanation:

To successfully prevent fraud, an organization must: d. All of the above. This includes identifying and remedying internal control weaknesses, explicitly considering fraud risks, and taking proactive steps to create the right kind of environment. An organization that understands the importance of a robust internal bureaucracy can better identify misconduct. However, bureaucracies may resist criticism and reporting wrongdoing can carry personal risks. Therefore, it's imperative for organizations to encourage a culture of transparency and accountability to mitigate such issues.