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Discuss the Meaning of "Material Fact" in Fraud Situations

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Essay

Discuss the meaning of "material fact" in fraud situations.


Definitions:

Direct Labor-hours

The total hours worked directly on the production of goods.

Merchandise Purchases Budget

A detailed plan used by a merchandising company that shows the amount of goods that must be purchased from suppliers during the period.

Required Purchases

The quantity of goods a company needs to buy to meet its production plans and sales forecast.

Selling And Administrative Expense Budget

A detailed schedule of planned expenses that will be incurred in areas other than manufacturing during a budget period.

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