The Fraud Triangle Has Three Components

question 43

Multiple Choice

The fraud triangle has three components. Which of the components must be present for a fraud to occur?

• A) All factors must be present for fraud to occur.
• B) All factors need not be present.
• C) Fraud can occur if any one of the factors is present.
• D) None of the above

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Definitions:

Proposed Rule

A suggested regulation or policy that is under consideration but has not yet been adopted or implemented.

Judicial Review

The power of courts to assess the constitutionality of legislative acts or governmental actions and to declare them void if they violate the constitution.

Statute

A formal written law enacted by a legislative body, at the national or state level.

Legislative Rules

Regulations established by a governing body to order society, enforceable by law.