5.7 What motives do people have for hacking? Why has hacking become so popular in recent years?

Do
you regard it as a crime? Explain your position.

- Peer pressure
- Monetary gain
- Inquisitive behaviour

- Competitive factor
- Cultural shock
- Increase in inquisitive behaviour
- Availability of hacking software
- Decrease in specialized computer skills

- Yes, if there is motive

- There is law which governs hacking

5.2 a) Define fraud, fraud deterrence, fraud detection, and fraud investigation.

- Fraud is defined as the gaining an unfair advantage over another person.

- Fraud deterrence is the proactive identification and removal of the causal and enabling factors
of fraud.
- Fraud detection is the action taken to reveal and trace factor that caused fraud.
- Fraud investigation is defined a process involved by a party that take into account the approach
of controls processes and systems too be able to identify, monitor, report and action fraudulent
activities.

b) List four red-flag indicators (personal as opposed to organizational) that might point to the
existence of fraud in this example.

- Non-existing supplier (pay to someone who does not exist) Fictitious transaction
- Post box / post office
- Cheque depositing
- No segregation of duty (poor internal control leading to fraud)

c) List two procedures you could follow to uncover the fraudulent behaviour of the purchases
journal clerk in this situation.

- Create an audit trail so that individual transactions can be traced

- System check (employ a professional to perform independent checks on performance)