Concealing Unlawfully Gained Funds by Converting Them into Seemingly Legitimate

question 30

Multiple Choice

Concealing unlawfully gained funds by converting them into seemingly legitimate income is called

• A)forgery.
• B)bouncing a check.
• C) money laundering.
• D) kiting a check.

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Definitions:

Insurance

A financial product offering protection against the potential financial loss or liability resulting from specific events or circumstances, in exchange for a premium payment.

Adverse Selection

A situation in markets where buyers or sellers have information that other participants do not, leading to an unfair advantage or market inefficiency.

Risk Aversion

a preference for certain outcomes over uncertain ones, often characterized by the avoidance of risky situations.

Expected Value

A calculated average of all possible values for a random variable, taking into account their probabilities of occurrence.