Predicting Fraudulent Behavior

<p>This study examines the relationship among company size slack return on investment and the frequency of fraudulent behavior. A model is proposed in which an increase in company size and a decrease in both company slack and return on investment would increase the frequency of fraudulent behavior. A test of the model showed strong support of a relationship between company size and incidents of fraudulent behavior. Additionally the results suggest that levels of slack may contribute to the frequency of fraud. Further tests provide no support for the relationship between the decrease in return on investment and the increase in the frequency of fraudulent behavior. Overall the results suggest that large companies with lower levels of slack are more likely to engage in fraudulent behavior. Several explanations for this pattern are explored in the study.</p><p>This work has been selected by scholars as being culturally important and is part of the knowledge base of civilization as we know it. This work was reproduced from the original artifact and remains as true to the original work as possible. Therefore you will see the original copyright references library stamps (as most of these works have been housed in our most important libraries around the world) and other notations in the work.</p><p>This work is in the public domain in the United States of America and possibly other nations. Within the United States you may freely copy and distribute this work as no entity (individual or corporate) has a copyright on the body of the work.</p><p>As a reproduction of a historical artifact this work may contain missing or blurred pages poor pictures errant marks etc. Scholars believe and we concur that this work is important enough to be preserved reproduced and made generally available to the public. We appreciate your support of the preservation process and thank you for being an important part of keeping this knowledge alive and relevant.</p>