Committing a fraud because the employee feels that it will be easy to do is indicative of which part of the fraud triangle?
Committing a fraud because an employee feels that it will be easy to do is indicative of the "opportunity" component of the fraud triangle.
The fraud triangle is a concept used in the field of fraud examination, and it suggests that three factors must be present for fraud to occur: opportunity, rationalization, and pressure.
In this scenario, the employee believes that the fraud will be easy to commit, indicating that there is an opportunity for them to exploit. This could be due to weak internal controls, lack of oversight, or a perception of minimal risk of detection.
To determine which part of the fraud triangle is indicated, you can break down the three components and analyze the situation:
1. Opportunity: This refers to circumstances that allow the fraud to take place. In this case, the employee's belief that the fraud will be easy to do suggests that there is an opportunity for them to exploit.
2. Rationalization: This refers to the mindset or justification the individual uses to justify their fraudulent behavior. In the given scenario, the question does not provide information about the rationalization, so we cannot conclude anything about it.
3. Pressure: This refers to the financial, personal, or psychological factors that push an individual to commit fraud. The question does not provide information about any pressure that the employee may be facing, so we cannot conclude anything about it.
Based on the given information, it can be surmised that the focus is on the opportunity component of the fraud triangle, as the employee's belief that the fraud will be easy to commit indicates the presence of an exploitable situation. However, it is essential to consider all three components of the fraud triangle when evaluating fraud scenarios.