Which Accounts Are Most Commonly Manipulated in a Financial Statement

question 31

Multiple Choice

Which accounts are most commonly manipulated in a financial statement fraud?

• A) Revenues/ receivables
• B) Inventory/ COGS
• C) Long-term liabilities
• D) Short-term liabilities

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Definitions:

TANF

Temporary Assistance for Needy Families, a U.S. government program that provides financial aid to low-income families.

Welfare Rolls

Lists or records of individuals or families receiving government assistance benefits, typically for those living below the poverty line.

Noncash Transfers

A mode of transferring wealth or benefits without the exchange of physical cash, often utilized in government assistance programs.

Income Distribution

The way in which total income is shared among individuals or groups within an economy, impacting economic equality.