Which Ratio Will Increase in a Liability Fraud

question 23

Multiple Choice

Which ratio will increase in a liability fraud?

• A)Accounts payable ÷ purchases
• B)Interest expense ÷ notes payable
• C)Total liabilities ÷ total assets
• D)Lease expense ÷ total fixed assets

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Definitions:

Sales Promotion Technique

A marketing strategy designed to increase sales in the short term, often through discounts, coupons, or special offers.

Sampling

A process in statistics and research where a subset of individuals or items from a larger population is selected for analysis.

Doritos Locos Tacos

A product collaboration between Taco Bell and Doritos, where a taco shell made from Doritos chips is filled with traditional Taco Bell ingredients.

Monopoly Sales Promotion

Sales strategies employed by a monopoly to promote its products or services, often in the absence of competition.