​Studies Reveal That Honesty Levels in Advaned Countries Are Decreasing

question 12

Multiple Choice

​Studies reveal that honesty levels in advaned countries are decreasing.What do these findings indicate for the future regarding fraud?

• A)​Rationalizations will become more sophisticated.
• B)​Pressures to commit fraud will increase.
• C)​Less perceived opportunity will have to be present.
• D)​Honesty tests in the workplace will increase.

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Definitions:

Useful Life

The estimated time period that an asset is expected to be usable for its intended purpose.

Simple Rate Of Return

A calculation used to evaluate the profitability of an investment, determined by dividing the annual incremental net operating income by the initial investment cost.

Salvage Value

The expected residual worth of an asset upon the conclusion of its effective lifespan.

Net Income

The total profit of a company after all expenses and taxes have been deducted from total revenue.