Fraud Detection in Financial Statements Applying Benford's Law with Monte Carlo Simulation
Само за регистроване кориснике
2019
Чланак у часопису (Објављена верзија)
Метаподаци
Приказ свих података о документуАпстракт
Benford’s Law is a useful tool for detecting fraud in financial statements. In this paper we test the
financial item named ‘Work performed by the undertaking for its own purpose and capitalised’
applying this tool. The data are taken from the financial reports of all companies submitted to the
Serbian Business Register Agency for the period of 2008–2013. Our conclusion shows that there is
a very high probability that the frequency distribution of the second digit does not satisfy Benford’s
Law. In other words, it implies that certain manipulations have been usually done with the second
digit of the aforementioned item in the financial statement. This research confirms our hypothesis
that financial statement frauds are usually conducted using the second digit.
Кључне речи:
Benford’s Law / income statement / auditing / financial fraud / Monte Carlo simulationИзвор:
Acta Oeconomica, 2019, 69, 2, 217-239Издавач:
- Budapest : Akadémiai Kiadó
Финансирање / пројекти:
- Организационе и информационе подршке систему управљања квалитетом као кључним фактором повећања конкурентности наших предузећа и њихиовог бржег изласка на светско и ЕУ тржиште (RS-MESTD-Basic Research (BR or ON)-179001)
- Оптоелектронски нанодимензиони системи - пут ка примени (RS-MESTD-Integrated and Interdisciplinary Research (IIR or III)-45003)
Институција/група
JakovTY - JOUR AU - Pavlović, Vladan AU - Knežević, Goranka AU - Joksimović, Marijana AU - Joksimović, Dušan PY - 2019 UR - http://jakov.kpu.edu.rs/handle/123456789/1526 AB - Benford’s Law is a useful tool for detecting fraud in financial statements. In this paper we test the financial item named ‘Work performed by the undertaking for its own purpose and capitalised’ applying this tool. The data are taken from the financial reports of all companies submitted to the Serbian Business Register Agency for the period of 2008–2013. Our conclusion shows that there is a very high probability that the frequency distribution of the second digit does not satisfy Benford’s Law. In other words, it implies that certain manipulations have been usually done with the second digit of the aforementioned item in the financial statement. This research confirms our hypothesis that financial statement frauds are usually conducted using the second digit. PB - Budapest : Akadémiai Kiadó T2 - Acta Oeconomica T1 - Fraud Detection in Financial Statements Applying Benford's Law with Monte Carlo Simulation VL - 69 IS - 2 SP - 217 EP - 239 DO - 10.1556/032.2019.69.2.4 ER -
@article{ author = "Pavlović, Vladan and Knežević, Goranka and Joksimović, Marijana and Joksimović, Dušan", year = "2019", abstract = "Benford’s Law is a useful tool for detecting fraud in financial statements. In this paper we test the financial item named ‘Work performed by the undertaking for its own purpose and capitalised’ applying this tool. The data are taken from the financial reports of all companies submitted to the Serbian Business Register Agency for the period of 2008–2013. Our conclusion shows that there is a very high probability that the frequency distribution of the second digit does not satisfy Benford’s Law. In other words, it implies that certain manipulations have been usually done with the second digit of the aforementioned item in the financial statement. This research confirms our hypothesis that financial statement frauds are usually conducted using the second digit.", publisher = "Budapest : Akadémiai Kiadó", journal = "Acta Oeconomica", title = "Fraud Detection in Financial Statements Applying Benford's Law with Monte Carlo Simulation", volume = "69", number = "2", pages = "217-239", doi = "10.1556/032.2019.69.2.4" }
Pavlović, V., Knežević, G., Joksimović, M.,& Joksimović, D.. (2019). Fraud Detection in Financial Statements Applying Benford's Law with Monte Carlo Simulation. in Acta Oeconomica Budapest : Akadémiai Kiadó., 69(2), 217-239. https://doi.org/10.1556/032.2019.69.2.4
Pavlović V, Knežević G, Joksimović M, Joksimović D. Fraud Detection in Financial Statements Applying Benford's Law with Monte Carlo Simulation. in Acta Oeconomica. 2019;69(2):217-239. doi:10.1556/032.2019.69.2.4 .
Pavlović, Vladan, Knežević, Goranka, Joksimović, Marijana, Joksimović, Dušan, "Fraud Detection in Financial Statements Applying Benford's Law with Monte Carlo Simulation" in Acta Oeconomica, 69, no. 2 (2019):217-239, https://doi.org/10.1556/032.2019.69.2.4 . .