Which of the Following Fraud Symptoms Is Often the Easiest

question 7

Multiple Choice

Which of the following fraud symptoms is often the easiest to detect?

• A) Analytical anomalies
• B) Internal control weaknesses
• C) Accounting anomalies
• D) Lifestyle changes

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Definitions:

Cost-Plus Pricing

A pricing method where the seller establishes the sale price by adding a defined markup to the cost per unit of the product.

Total Variable Cost

Total Variable Cost is the sum of all costs that vary directly with the level of production or sales volume; they increase as production increases and decrease as production decreases.

Mark-Up Percentage

A financial ratio indicating the percentage by which a product's selling price exceeds its cost, used to determine selling prices.

Time And Material Pricing

A pricing method where a service provider charges based on the labor time involved and the cost of materials used.