The Difference Between Fraud and Error Is

question 9

Multiple Choice

The difference between fraud and error is:

• A) Fraud involves numbers
• B) Fraud is found in business
• C) Error can only be made by humans
• D) Fraud involves intent

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Definitions:

Purchasing Department

A division within a business that is responsible for acquiring goods and services needed for operations.

Standard Cost

A predetermined cost of manufacturing a product or providing a service, used for budgeting and performance evaluation.

Predetermined Cost

An estimated cost calculated in advance of production, used for budgeting and cost control purposes.

Negative Effects

Undesirable impacts or outcomes that result from a specific action, event, or set of circumstances.