Question 2 - Part b

In this lesson

1. 0:00 Introduction to quantifying loss procedures
2. 0:42 Why students struggle with this requirement
3. 1:42 Using data analytics to investigate transactions
4. 2:30 Breaking down the investigation into key areas
5. 3:51 Identifying suspicious bank account patterns
6. 5:20 Writing effective data analytics procedures
7. 6:27 Validating findings with HR discussions
8. 7:29 Matching ghost employees to payroll records
9. 8:31 Connecting payments to suspicious accounts
10. 9:35 Achieving full marks through professional judgement

About this lesson

You'll discover why students often struggle with this type of question and how to avoid those pitfalls by relating every procedure directly to the scenario. The video walks you through a structured approach to tackling a six-mark question on loss quantification. You'll see how to break down a complex fraud scenario into manageable investigative steps: identifying suspicious bank account changes, detecting ghost employees still on the payroll, and matching fraudulent payments to those accounts. The tutor demonstrates how to use data analytics software effectively to design procedures that actually gather the evidence needed, and shows you how to add professional judgement—such as discussing legitimate reasons for unusual transactions with HR—to strengthen your answer. The key takeaway is that this type of requirement isn't about memorising audit procedures; it's about common sense and detective work. By thinking through what you'd logically need to investigate, writing clear one-sentence procedures focused on the specific scenario, and showing your reasoning, you'll earn marks for both technical accuracy and professional judgement. This approach applies across multiple exam sittings and helps you avoid the common mistake of writing generic procedures that don't address the actual loss.

Duration: 11m