Jody and David Begin an Etailing Fraud Scam on Campus

question 75

Multiple Choice

Jody and David begin an etailing fraud scam on campus with the rest of Jody's friends on the volleyball team. Which of the following scenarios would most likely be considered etailing fraud?

• A) ​Jody and his friends purchase stereo equipment online and purchasing cheaper, but similar stereo equipment at a local store. After receiving the original purchase, they ship the cheaper version back to the online store for a full refund
• B) ​Jody obtains legitimate receipts for merchandise and enters a store, taking from the shelf the same merchandise and returns the stolen product for cash
• C) ​Jody has her friends purchase stock in a company and after purchasing at a low rate, she spread information via an online blog about the success of the company, increasing the stock price, and having her friends sell at an inflated rate
• D) ​David spread negative information about the university online in an attempt to hold the university ransom unless they agree to pay an agreed-upon sum of money for David to remove the slanderous information

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Definitions:

Return on Total Assets

A financial ratio that measures the effectiveness of a company in generating profit from its overall assets, calculated by dividing net income by total assets.