A computational model for financial reporting fraud detection
Document Type
Article
Publication Title
Decision Support Systems
Abstract
A computational fraud detection model (CFDM) was proposed for detecting fraud in financial reporting. CFDM uses a quantitative approach on textual data. It incorporates techniques that use essentially all of information contained in the textual data for fraud detection. Extant work provides a foundation for detecting deception in high and low synchronicity computer-mediated communication (CMC). CFDM provides an analytical method that has the potential for automation. It was tested on the Management's Discussion and Analysis from 10-K filings and was able to distinguish fraudulent filings from non-fraudulent ones. CFDM can serve as a screening tool where deception is suspected.
DOI
https://doi.org/10.1016/j.dss.2010.08.010
Publication Date
2-2011
Recommended Citation
Glancy, Fletcher H. and Yadav, Surya B., "A computational model for financial reporting fraud detection" (2011). Faculty Scholarship. 238.
https://digitalcommons.lindenwood.edu/faculty-research-papers/238