Which Ratio Will Increase in a Liability Fraud

question 32

Multiple Choice

Which ratio will increase in a liability fraud?

• A) Accounts payable/Purchases
• B) Interest expense/Notes payable
• C) Total liabilities/Total assets
• D) Lease expense/Total fixed assets

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Definitions:

Collagen Fibers

Strong, insoluble protein fibers that provide structural support, strength, and elasticity to connective tissue.

Thrombin

An enzyme in blood plasma that causes the clotting of blood by converting fibrinogen to fibrin.

Phagocytotic Cells

Cells that protect the body by ingesting harmful foreign particles, bacteria, and dead or dying cells.

Monocytes

A form of leukocyte crucial to the immune system, as it evolves into macrophages and dendritic cells.