A Shell Company Fraud Involves

question 20

Multiple Choice

A shell company fraud involves

• A) stealing cash from an organization before it is recorded.
• B) stealing cash from an organization after it has been recorded.
• C) manufacturing false purchase orders, receiving reports, and invoices.
• D) a clerk paying a vendor twice for the same products and cashing the reimbursement check issued by the vendor.

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Definitions:

Arbitration

A method of dispute resolution where an impartial third party, known as an arbitrator, makes a decision to resolve a disagreement between two or more parties.

Valid Contract

A legally binding agreement between parties that meets all the essential requirements of lawful consideration, offer and acceptance, competent parties, and legal purpose.

Scope of Work

A detailed description of the specific tasks, activities, deliverables, and timelines that a project or contract will encompass.

Legal Subject Matter

The specific area or topic within the field of law that is under discussion, analysis, or consideration.