University of North FloridaUNF Digital CommonsAccounting.docx

University of North Florida
UNF Digital Commons
Accounting and Finance Faculty Publications Department of
Accounting and Finance
1-2006
CPAs' Role in Fighting Fraud in Nonprofit
Organization
Andrea McNeal
Jeffrey E. Michelman
University of North Florida, [email protected]
Follow this and additional works at:
http://digitalcommons.unf.edu/bacc_facpub
Part of the Accounting Commons, and the Finance and Financial
Management Commons
This Article is brought to you for free and open access by the
Department
of Accounting and Finance at UNF Digital Commons. It has
been accepted
for inclusion in Accounting and Finance Faculty Publications by
an
authorized administrator of UNF Digital Commons. For more
information,
please contact [email protected]
© 1-2006 All Rights Reserved
Suggested Citation

McNeal, Andrea and Michelman, Jeffrey E., "CPAs' Role in
Fighting Fraud in Nonprofit Organization" (2006). Accounting
and Finance
Faculty Publications. Paper 8.
http://digitalcommons.unf.edu/bacc_facpub/8
http://digitalcommons.unf.edu?utm_source=digitalcommons.unf.
edu%2Fbacc_facpub%2F8&utm_medium=PDF&utm_campaign=
PDFCoverPages
PDFCoverPages
PDFCoverPages
http://digitalcommons.unf.edu/bacc_facpub?utm_source=digital
commons.unf.edu%2Fbacc_facpub%2F8&utm_medium=PDF&ut
m_campaign=PDFCoverPages
http://digitalcommons.unf.edu/bacc?utm_source=digitalcommon
s.unf.edu%2Fbacc_facpub%2F8&utm_medium=PDF&utm_camp
aign=PDFCoverPages
http://digitalcommons.unf.edu/bacc_facpub?utm_source=digital
commons.unf.edu%2Fbacc_facpub%2F8&utm_medium=PDF&ut
m_campaign=PDFCoverPages
http://network.bepress.com/hgg/discipline/625?utm_source=digi
talcommons.unf.edu%2Fbacc_facpub%2F8&utm_medium=PDF
&utm_campaign=PDFCoverPages
http://network.bepress.com/hgg/discipline/631?utm_source=digi
talcommons.unf.edu%2Fbacc_facpub%2F8&utm_medium=PDF
&utm_campaign=PDFCoverPages
http://digitalcommons.unf.edu/bacc_facpub/8?utm_source=digit
alcommons.unf.edu%2Fbacc_facpub%2F8&utm_medium=PDF&
utm_campaign=PDFCoverPages
mailto:[email protected]

PDFCoverPages
PDFCoverPages
MA AGE M E T
fra u d
CPAs' Role in Fighting Fraud
in Nonprofit Organizations
By Andrea McNeal and
j effrey Michelman
F raud in th e nonprofit sec tor ha been th e object of increas in
g
sc rutin y by th e U.S. Congress,
notably th e U.S. Senat e .... in ance
Committee, a well a by ew
York St ate Attorney General
Eliot Spitzer. Recent studies indi-
ca te that frauds occur in non -
profits of all sizes and in every
area of the counu'y with astound-
ing frequency. Furthermore. the
cost of the e fraud appears to be
increa in g at an alarming rate
(see Exhibit I ). With mall
organization uffering the mo t
ex treme losses from fraud and
embezzlements, mall , co mmu-
nity- based nonprofits mu st be
e pec ially dili gent in enacting
fraud prevention and detec tion

meas ure s. Sp ec ifi ca lly , good
board governan ce and internal
co ntrol poli cies in these organi-
za tion s are imperativ e to pre-
ve nt or miti ga te th e nega ti ve
impacts of fraudulent activity
within the organization. Financial
officer and CPAs advi in g
no n profits al 0 ha ve a role to
pl ay in facilitating and en uring
effective internal controls.
Board Governance
The implication of the Sarbane -Oxley
Act (SOA) for all organizations are far-
rangi ng. T ypi ca ll y, th e boards of mall
nonprofi t organizations tend to co mpri se
a few vo lunteer community members th at
kn ow each other well and ha ve es tab-
Ii hed a l eve l of tru st and rapport.
Additionally, non profi t boards freq uent-
ly experience a high turnover of mem-
ber , and individual that vo lunteer are
60
often untrained or unqualified to proper-
l y perfo rm the ove r si g ht function.
Combined, these factors can re ult in a
board that i unwilling or un abl e to a k
the tou gh questions necessary to detect
financial mi smanagement or fraud.
SOA req uires public companies to estab-

Ii h an independent audit committee with
th e presence of at lea t one "financia l
ex pert. " For nonprofits that undertake
ex ternal audits, implementing this provi-
sion represents an opportunity to enhance
the overs ight function and strengthen the
benefits received from the independent
audit. Many mall non profits, however,
lack the resources to conduct a full audit,
and therefore do not need a fonnal audit
committee.
The role of a CPA vo lunteer, even if
merely a an independent board member
providing check-s igning oversight, may be
critically impoltant in both substance and
form. Small nonprofits should still con-
sider retaining an independent accountant
to pelform a rev iew or compila-
tion of th e entit y's f inan c i al
record s to supplement any fraud
detection activities. Furthermore,
non profits that choose to forgo
an ex ternal audit should at least
establi h an independent finance
committee to oversee the organi-
zation 's financial employees and
transaction .
Gi ve n th e hi gh turn over of
board member and officers, a
well as the vo lunteer nature of
these position s. small nonprofits
may ex peri ence difficulty find-

in g vo luntee rs with adequate
business and financial qualifica-
tion . Furthermore, the turnover
of the e indi viduals makes con-
tinuity of oversight and fiscal ini-
tiati ve more difficult.
onetheless, nonprofits hould
attempt to engage "finan c i al
ex pert ," or at lea t financially
kno w ledgeabl e indi vidu al s, to
serve on the finance co mmittee.
Active in vo lvement of such indi -
vi duals in the oversight function
may provide additional scrutin y
and accountability for the financial offi-
cer and employees and therefore aid in
not only detecting, but also deterring,
fraudulent activity. Although nonprofits
may be stratifi ed into perhap three cat-
egori e - those rece i ving no CPA ser-
vices, those u ing CPA to comp lete a
rev iew, and tho e u ing a CPA to com-
plete a full audit - the ro le of the CPA
remai n important in all three in tances.
JANUARY 2006 / THE CPA JOURNAL
Internal Control Issues
Th e ci a ic fr aud tri ang le (Exhibit 2)
illu trates the three fac tor that are neces-
sary fo r a fraud to occ ur : press ures o r

incenti ves, rati onalization. and oppoltuni -
ty. Although the convergence of these fac-
to rs is what ult imate ly re ult in frauds,
orga ni zati o ns ca n add ress the 0 ppOltunity
co mpo ne nt , a nd thu s reduce the like li -
hood of fra udulent acti vi ty, by establi shing
adequate inte rn al contro ls.
Whil e every no nprofit faces its ow n
set of co ntro l cha lle nges a nd weakn ess-
es, sma ll community- based orga ni zati o ns
h ave c h a rac te r is ti cs th a t m a ke th e m
parti c ul a rl y uscepti ble to f ra ud . At the
fo refro nt of the prob le mati c cha racte ri s-
ti cs is the fac t th at th e e o rga ni za ti o ns
a re no t o nl y ove rsee n , b ut ge ne ra ll y
a lso run , o le ly o r la rge ly b y vo lun -
teers. The indi viduals res po nsible fo r car-
ry ing o ut exec uti ve and fin a nc ia l dutie
ofte n ha ve se pa rate full -time j o bs and
rece ive no co mpe nsati o n fo r ass umin g
th e e additi o na l re po n ibiliti es. A s a
result, the vo lunteers may not be as full y
co mmitted to the ta ks at hand a they
should be, and may therefore fa il to exer-
c ise a n adequ ate leve l of ca re in pe r-
formin g th e ir du tie . Additi o nall y, the e
vo l unt ee rs m ay rece i ve littl e o r n o
in struc ti o n o n the pro pe r pelfo rmance o f
the ir res po ns ibiliti e .
These defic ie nc ies in dedi cation a nd
trainin g can have di re conseq ue nces fo r
an y o rga ni za ti o n, and ma ny good , hon-
est vo lunteer may unknow in gly pelform
th e ir duti es in co rrec tl y. Furth e rm o re,

o me vo lunteers may neg li ge ntl y breeze
throu gh tas ks that deserve more attention,
resulting in fi nanc ial losses o r admini s-
trati ve diffi culties fo r the orga ni zati on. At
the far end of the spectrum , un scrupulo us
volunteers may ex pl o it these weakness-
es to the ir ad va ntage, as exempli fie d in
the First Coast Soccer Assoc iat io n case
(di scus ed in Exhibit 3). Indi viduals look-
ing fo r fra ud o ppOltuniti es w ill a lways
choose orga ni zati o ns w ith the ex pl o itable
co mbin a ti o n of hi g h po te nti a l rewa rd s
and a poo rl y impl e me nted inte rn a l co n-
trol tructure.
Because sma ll non profi t orga ni za ti ons
re ly so heav il y on the integrity and a bil -
ity of the ir vo lunteers, uc h e nti ties must
o bta in bac kground check, both crimin a l
and fin anc ia l, on all board me mbers and
EXHIBIT 1
Facts About Nonprofit Fraud
In a 2004 study of 508 occupational fraud cases*:
• 12.2% of the frauds occurred in the not-for-profit sector.
• The median loss of cases in not-for-profit organizations was
$100,000, up from
$40,000 in a similar study in 2002.

• Billing schemes were the most frequent form of fraud in not-
for-profit organi-
zations, accounting for 46.6% of the cases.
• 45.8% of the frauds occurred in organizations with fewer than
100 employees,
with a median loss of $98,000.
In a 2003 survey of more than 300 not-for-profit CEOs**:
• 62% said their board had not discussed the Sarbanes-Oxley
Act.
• Only 20% indicated that their board had implemented any
governance policy
changes as a result of the Sarbanes-Oxley Act.
• 77 % said they have a separate audit committee.
• Just 16% said they have a "whistle-blower" policy in place.
* Association of Certified Fraud Examiners, 2004 Report to the
Nation on
Occupational Fraud and Abuse.
** Grant Thornton LLP, National Board Governance Survey for
Not-far-Profit
Organizations (www.grantthornton.com).
EXHIBIT 2
The Fraud Triangle

Pressure/lncentive
Pressure on employees to
misappropriate cash or
other organizational assets.
Rationalization
Opportunity
Circumstances that allow an
employe e to carry out the
misappropriation of cash or
other organizational assets.
A frame of mind or ethical
character that allows
employees to intentionally
misappropriate cash or other
organizational assets and
justify their dishonest actions.
Sources: Occupational Fraud Abuse, by Joseph T. Wells, CPA,
CFE (Obsidian Publishing Co., 1997);
Fraud Examination, by W. Steve Albrecht (Thomson South-
Western Publishing, 2003).
61
officer, or at least on anyone handling
cash or other liquid asset. In many cases,
mall nonprofits that have suffered at the
hands of fraud ters wou ld have uncovered

previou s financial transgre sion s or pos-
sibl e fraudu lent motivation s simply by
conducting thorough background and ref-
erence check on the perpetrators prior
to hiring them.
Some organization may wish to go one
tep further and obtain fidelity bond to
cover those volunteers that will handle cash.
While fidelity bond coverage can mitigate
financial losses suffered due to fraud , orga-
nizations mu t be aware that mo t policies
require the nonprofit to establish and main-
tain sound accounting policies and proce-
dures, and may refu e to pay indemnities
if!hi requirement i not met Organization
hould aI 0 con ider implementing a pro-
gram to provide a certain level of finan -
cial-literacy education to board members and
employee with financial re pon ibilities.
Incorporating mandated training for indi-
Segregation of duties
may be difficult in small
organizations, but it is
especially crucial in
combating embezzlement
and fraud when many
transactions are
conducted in cash .

vidual with acce: to or oversight of the
nonprofit' funds enhances the ability of the
organization' volunteers to detect finan-
cial mi management
In addition, mo t mall nonprofit are
cash based, which can compound any i ues
or weaknes es present in the control envi-
ro nment. Marginally tempted employees
may find the acces ibility of ca h too
appealing and may engage in conduct that
they otherwi e would not. Con equently,
organization that receive much of their col-
62
EXHIBIT 3
Case Study: First Coast Soccer Association
Over a period of 22 months, Karen Edenfield was able to steal
more than
$80,000 from a community's children and their parents. As the
volunteer treasurer
of a Jacksonville, Florida, youth soccer association, she
managed the finances of
an organization that served more than 1,500 children and
collected funds in
excess of $400,000 annually. In this role, Edenfield's stated
responsibilities included
maintaining the records of the organization's funds, reconciling
all of the associa-

tion's bank accounts, and paying the debts of the association in
a timely manner.
During the last two years of her four years as treasurer,
Edenfield wrote more
than 100 checks to herself, to cash, and to vendors for personal
expenses.
Additionally, she set up a new "business" bank account for a
fake company with
the same initials as a legitimate socce r association payee, in
order to inconspicu-
ously siphon funds from the organization. She then transferred
the money from
this account to her personal account
Like many other frauds, the start of this embezzlement was
motivated by per-
sonal financial difficulties, resulting from the recent loss of her
previous job and
her husband's previous businesses failures. A background check
on Edenfield
would have revealed a history of financially questionable
situations, including
numerous bad-check charges and a large tax lien levied against
her husband

from a failed professional endeavor. However, the board of the
association did not
undertake such an investigation. Furthermore, although
Edenfield was required to
submit frequent budgetary and accounting reports to the assoc
iation's finance
committee, the board members knew each other well and
frequently exercised
only perfunctory oversight As a result, it took nearly two years
for the board to
become suspicious enough to undertake a thorough examination
of the organiza-
tion's finances .
Once under investigation, Edenfield admitted to the thefts,
although the full
amount was never determined, due in large part to the
organization's poorly kept
financial records. Additionally, Edenfield told the authorities
that the association's
president had suggested that she make use of the organization's
funds, and had
showed her how to do so without drawing attention. Very
shortly after Edenfield's
sentencing, the president was charged with embezzling $5,000.

Discussions with board members revealed that the occurrence
and duration of
the fraudulent activity were facilitated by a systemic failure in
the board gover-
nance process, due to two primary factors. First, parents,
particularly those serv-
ing as board members, were often afraid to ask pointed
questions for fear of a
retaliatory effect on their child's soccer playing time. Second,
cash payments to
many of the volunteers for the ir "service" had become an
accepted form of prac-
tice within the organization.
lections and pay many vendors in cash need
control in place to verify and oversee the
cash recei pt and di sbursement .
egregation of duties may be difficult in
small organizations, but it is especially cru-
cial in combating embezzlement and fraud
when many tran actions are conducted in
cash. If nothing else, the duties of handling
and reconciling fund hould al way be
egregated, with one party re pon ible for

approving di bursements, another for phys-
ically receiving and distributing fund, and
a thi rd for receiv ing bank statements and
performing the cash and bank reconcilia-
tion . Furthermore, checks should never be
igned in advance, and spec ial authoriza-
tion. such a dual signatures on checks,
should be required for cash di bursement
over a certai n dollar amount. While such
controls may not prevent a determined
fraudster. they decrease the opportunity for
di honest individual to embezzle the orga-
nization' s fund s, and may therefore deter
many improprieties. Accordingly. organ i-
zations mu t emphasize the importance of
ad herence to uch control to emp loyee
and board members. both during training
and throughout their tenure.
Responsibilities of the Accounting
Profession
Accounting profes ional s are in a unique
position to help small nonprofits fight fraud
(see Exhibit 4). Their ro le is threefold:
• A community member s. CPA
• Volunteer to be treasurer.
hould get invol ved with the organiza-
tion s they patronize and upport. By
attending board mee tin g. becoming
familiar with the organization's policie .
and a king tough que tion s of those in

charge, they can bring an outside ource
of accountability to the individual
responsib le for the organization' opera-
tion s and finances.
• B y vo lunteer in g to se rve as board
member for small nonprofits. CPA ca n
provide so me much - needed financial
expertise to the board governance f un c-
tion , and ca n faci litate the implementa-
tion of proper governance and internal
cont ro l policies throughout the organ i -
zation.
• e PAs hould give back to the nonprofit
ctor by acti ng in their professional capac-
ity. They can offer to perform pro bono
or reduced -fee as urance engagements, or
volunteer their time and proficiency to pro-
vide financial literacy and internal control
traini ng to the organization' board mem-
bers and emp loyee .
Andr ea McNeal, MAcc , CPA , is an
accounting writer /e ditor with th e
Association of Certified Fraud £mminers
ill Austill, Texas. J effrey Michelmall, PhD,
CPA , CMA , is an associate professor of
accoullting and information systems at
th e Ulliversity of North Florida ill
Jacksoll ville, Fla .
EXHIBIT 4
ePAs' Role in Good Board Governance
• Volunteer to chair the finance committee .

• Make sure that the organization has purchased adequate
directors' and officers' insurance.
• Require fidelity bonding for individuals handling cash.
• Require background checks on all employees handling cash or
working with children .
• Help identify high -risk areas of the organization.
• Volunteer to perform pro bono or reduced-fee audits, reviews,
or bookkeeping services.
• Volunteer to provide financial literacy and internal control
training to the organization's board members and employees.
• Become involved in hiring full-time staff as appropriate,
particularly those employees involved in the finance function .
JANUARY 2006 / THE CPA JOURNAL 63
University of North FloridaUNF Digital Commons1-2006CPAs'
Role in Fighting Fraud in Nonprofit OrganizationAndrea
McNealJeffrey E. MichelmanSuggested CitationTitle
Board Governance
Internal Control Issues
EXHIBIT 1 Facts About Nonprofit FraudEXHIBIT 2 The Fraud
TriangleEXHIBIT 3 Case Study: First Coast Soccer
AssociationResponsibilities of the Accounting
ProfessionEXHIBIT 4 CPAs' Role in Good Board Governance
2
Prepare a Conceptual Model
In the initial stages of a research project, an important first

step is to prepare a diagram that illustrates the research
hypotheses and displays the variable relationships that will be
examined. Specifically, a conceptual model is a diagram that
connects variables/constructs based on theory and logic to
visually display the hypotheses that will be tested. Preparing a
conceptual model early in the research process enables
researchers to organize their thoughts and visually consider the
relationships between the variables of interest. Conceptual
models also are an efficient means of sharing ideas between
researchers working on or reviewing a research project.
Two examples of conceptual models are shown in Exhibit 6-1.
The top model has two measured variables connected by a
single-headed arrow and is an example of a model of a bivariate
regression. The measured variables are represented as
rectangles and the arrow indicates that advertising budget is
related to or predicts sales. The model at the bottom of the
exhibit is more complex and represents a multiple regression
model, much like the one you are asked to prepare for your
Research Interest Overview. There are four measured variables
all represented as rectangles. The three measured variables on
the left are independent variables and the single measured
variable on the right is a dependent variable. Each independent
variable has an arrow that indicates that it is related to or
predicts the dependent variable sales. Thus, the model
indicates that sales is predicted by the advertising budget, the
number of salespersons, and the amount of website traffic. All
of these variables are measured with a single question and we
think of them as individual variables. Also, no signs (+/-) are
shown on the arrows to represent the orientation of relationships
between the independent and dependent variables. Therefore,
our hypotheses only show there is a relationship between the
variables, but not whether the relationship is positive or
negative (directional).
AD Budget
Sales

# Salespersons
Sales
AD Budget
Website Traffic
Exhibit 6-1 Conceptual Models of Measured Variables
The conceptual model in Exhibit 6-2 illustrates a more
sophisticated analysis of relationships. There are four variables
shown as ovals. In this situation, we refer to them as constructs
because each variable is considered as latent and not directly
measured. Instead, there are several questions that measure the
construct indirectly. Note that researchers sometimes use the
terms variable and construct interchangeably but constructs are
always measured indirectly by indicator variables.
To understand the model in Exhibit 6-2, the
variables/constructs must be defined. First, the construct

“Technology Acceptance Climate” is the extent to which
employees’ ongoing use of information technology is rewarded,
supported and expected within the organization. Although not
shown in the model, it is measured indirectly with several
questions (measured indicator variables). Second, the construct
“Shared Values” represents the feelings and beliefs that form an
organization’s culture and provide a basis for individuals to
understand the organization’s functioning and norms for
behavior. Examples of shared values include: customer
orientation, entrepreneurial values, adaptive cultural
expectations and information sharing norms. Thus, the shared
values construct is measured with several questions as well.
Third, “Technology Implementation” is how quickly and
completely the new information technology is integrated into
ongoing
operations and “Productivity” is higher output per day. The
Technology Implementation and Productivity constructs are
both measured with several questions as well.
Technology Implementation
Productivity
Technology Acceptance Climate
Shared Values
+
+
+

Exhibit 6-2 Four Construct Conceptual Model
The constructs “Technology Acceptance Climate” and
“Shared Values” are independent variables/constructs in the
conceptual model. In contrast, the construct “Productivity” is a
dependent variable. The construct “Technology
Implementation” is more complicated in the model because it is
both a dependent and an independent variable. In other words,
it is a dependent variable because it is predicted by two
independent variables (Implementation Climate and Shared
Values) but it also is an independent variable because it is
shown as predicting the construct Productivity.
Three hypotheses are illustrated by the arrows in this
conceptual model. They include: "Technology Implementation
is positively related to the Technology Acceptance Climate”,
"Technology Implementation is positively related to the
organization’s Shared Values", and “Productivity is positively
related to Technology Implementation.” There is a plus sign
(+) by all three arrows so all three relationships are represented
as directional and positive.
Note that constructs in all conceptual models are represented in
a sequence based on theory, logic or practical experiences
observed by the researcher. The sequence of the constructs is
illustrated from left to right, with independent (predictor)
constructs on the left and dependent (outcome) variables to the
right. That is, constructs to the left side are assumed to
precede and predict constructs to the right. When there are
more than two sets of constructs represented in a conceptual

model constructs on the right are always assumed to be
predicted by constructs on the left. Moreover, constructs
considered as dependent in a conceptual model often are
referred to as endogenous variables. Any construct that has an
arrow pointed into it is an endogenous variable. Constructs
that operate as both independent and dependent variables in a
model also are considered endogenous. Finally, constructs that
are always only independent variables are generally referred to
as exogenous variables. Exogenous variables (constructs) only
have arrows that point out of them and never have arrows
pointed into them. In Exhibit 6-2 Technology Acceptance
Climate and Shared Values are exogenous constructs. In
contrast, Technology Implementation and Productivity are
endogenous constructs.
The order of the constructs in the conceptual model shown in
Exhibit 6-2 is based on the following assumptions. In an
organization the climate of acceptance for new technology and
the shared values both influence the extent to which new
technology is implemented. Thus, implementation of new
technology is dependent on and predicted by the climate of
acceptance and shared values. Moreover, the Technology
Acceptance Climate and Shared Values constructs are referred
to as antecedents of technology implementation. In addition,
implementation of new technology is expected to lead to higher
productivity so the technology implementation construct is an
independent variable that predicts productivity, a dependent or
outcome construct.
When the sequence of the constructs has been decided, then the
connecting arrows representing the hypothesized relationships
must be drawn. The arrows are inserted with the arrow pointed
to the right, which indicates the sequence and that the
constructs on the left predict the constructs to the right. The
predictive relationships are sometimes referred to as causal
links, if the theory supports a causal relationship. If theory
does not support a causal relationship then the link between
constructs is considered a correlation. In connecting the

constructs with arrows all the possible connections may not be
included. For example, the model in Exhibit 6-2 does not have
an arrow between Technology Acceptance Climate and
Productivity, even though one could be drawn between the two
constructs. An arrow is not drawn there because theory does
not support such a relationship. Thus, arrows are drawn on
conceptual models only where theory or logic supports a
hypothesized relationship.
When you prepare your literature review you should
include a written description of your conceptual model as well
as an actual drawing of the model. The section of your
literature review that describes your model typically is called a
conceptual framework. The written description integrates all
the information about the problem/opportunity in a logical
manner, describes the relationships among the variables,
explains the theory underlying these relationships, indicates the
nature and direction of the relationships, and includes a
conceptual model. Exhibit 6-3 provides guidelines on how to
prepare a good conceptual framework.
Exhibit 6-3 Guidelines for Preparing Your Conceptual
Framework
· The variables/constructs considered relevant to the study are
clearly identified and defined.
· The sources of constructs are clearly identified. If new
constructs are developed for the study the process for
developing the constructs is explained, and their validity and
reliability reported.
· If published constructs are used, their validity and reliability
is reported for both the published study and for your own
research.

· The discussion states how the variables/constructs are related
to each other, i.e., which variables are dependent (endogenous)
or independent (exogenous).
· If possible, the nature (positive or negative) of the
relationships as well as the direction is hypothesized on the
basis of theory, logic, previous research or researcher judgment.
· There is a clear explanation of why you expect these
relationships to exist. The explanation cites theory, business
practice or some other credible source.
· A conceptual model or framework is prepared to clearly
illustrate the hypothesized relationships.
Research Interest Overview
Format Guide
· Writing your research paper:
· 1- Identify and define the problem.
· 2- Explain why the problem is important and how it makes a
contribution.
· 3- What is known about the problem? Conduct a literature
review.
· 4- Refine the problem – list independent and dependent
variables and develop a conceptual model.
· 5- Suggest ideas for date collection
· 6- Scholarly references.

Introduction
The research interest overview (RIO) is the second step in the
application process for admission to the DBA program. The
purpose of the RIO is to demonstrate your intellectual curiosity
and natural abilities in identifying phenomena in business
needing to be researched, find background literature and
theories to apply to these phenomena, and your writing and
communication skills in committing your research idea to paper.
This is a very important document in the application process so
please spend a significant amount of time preparing it.
The following represent some basic guidelines for the format of
the research interest overview. Perhaps the best advice is to
look at articles in academic journals in your area of interest and
use them as a guide for how to write your paper. While you are
limited in the specific sections you write, there is a lot of
latitude within each section to show your skills.
Format
Basics:
The document should be double-spaced in 12pt Times New
Roman font and left-justified. The footer should contain the
RIO title and the page number. Do not include your name in the
footer. The page limit for the body of the RIO is 12-15pages of
text (plus a single title page, a single abstract page, and
references). Papers over this length will not be considered.
Submit the paper as a Word document, not a PDF,
Sections:
The sections of the paper need to be clearly labeled. All of the
following sections must be included.
1. Title Page: In the upper right corner on a single page write
your first and last name, email address, area of interest, Cohort
7, and May 2015. Center ‘Research Interest Overview’ and the

title of your paper. Beneath the title toward the bottom of the
page, left-justify an ‘Author Note’ acknowledging all external
help received in preparing your RIO. Do not use a header or
other formatting techniques (see sample title page).
2. Abstract: The second page will be a short (50 word
maximum) summary of the RIO. At the top of the page, center
the title of the paper. Underneath the title, center the ‘Abstract’
heading.
3. Introduction: The paper begins with a basic description of
the phenomena being investigated and justification of why it
needs to be researched.
4. Literature/Theory review: You need to review relevant and
related scholarly research and theories on the phenomena using
proper citation format (refer to journals in your area for
guidance). Scholarly sources are journals – not trade
publications or newspapers, except perhaps, for example,
limited reference to the Wall Street Journal or similar
publication.
5. Theoretical model with research questions: In this section
you will provide a theoretical framework (conceptual model)
and identify at least 2 research questions of interest. Your
model should include 1 dependent variable and 2-3 independent
variables. This is a very important section in this paper so
invest time here. This section demonstrates how you can
conceptualize your ideas obtained from the literature/theory
review in a concise and visual way.
6. Data Collection: Describe how you will conduct your
research, including the proposed data collection approach.
Operationalization of variables is not required but highly
encouraged.
7. References:Follow APA style requirements as stated in the
APA Style Essentials Guide for all of the references used in
your RIO.

Name
Email
Area of interest
Cohort 7
May 2015
Research Interest Overview
Title of your paper

University of North FloridaUNF Digital CommonsAccounting.docx

Recommended

Recommended

More Related Content

Similar to University of North FloridaUNF Digital CommonsAccounting.docx

Similar to University of North FloridaUNF Digital CommonsAccounting.docx (20)

More from dickonsondorris

More from dickonsondorris (20)

Recently uploaded

Recently uploaded (20)

University of North FloridaUNF Digital CommonsAccounting.docx