During an Audit of a Major Contract, an Auditor Finds

question 35

Multiple Choice

During an audit of a major contract, an auditor finds that actual hours and dollars billed are consistently at or near budgeted amounts. This condition is a red flag for which of the following procurement fraud schemes?

• A) Defective pricing.
• B) Cost mischarging.
• C) Fictitious vendor.
• D) Bid rotation.

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Definitions:

Social Exchange Theory

A theoretical perspective that analyzes human behavior through the lens of cost-benefit analysis, suggesting individuals seek to maximize rewards and minimize costs in their social relationships.

Relationship Success

The degree to which partners in a relationship experience satisfaction, happiness, and longevity together.

Physical Attractiveness

The degree to which a person's physical features are considered aesthetically pleasing or beautiful.

Passionate Love

A state of intense longing for union with another, characterized by high levels of arousal and emotional investment in the relationship.