The main element that often differentiates fraud from error is the intentionality of the act. An error is not intentionally caused and may include a discrepancy in a dollar figure or a misapplication of an accounting policy (Investopedia, 2015). Fraud is an intentional misrepresentation or deliberate deception to secure a gain (Wikipedia, 2015). It is important to make this distinction for the organization and differentiate frauds that occur on behalf of the organization or against an organization. When fraud occurs against an organization, it occurs within an organization. Different types of fraud occur within an organization. The following table illustrates the types of organizational fraud. Table 1 Types of Organizational Fraud Fraud Example Employee Embezzlement The most common type and occurs when an employee embezzles company assets by stealing cash, inventory, supplies, or other assets. Management Fraud The most expensive type of fraud occurs when management manipulates financial statements to make the company appear more successful. Investment Scanning This type of fraud tries to convince investors to defraud sellers Sellers provide fewer goods than agreed upon or of lower than acceptable quality. Customer Fraud Customers pay too little or not at all. Miscellaneous Fraud Applies to anyone who takes advantage of the company in an attempt to deceive